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Is A "Hawkish" Fed Bad For Stocks After All? S&P Gives Up All Post-FOMC Day Gains

Tyler Durden's picture




 

US equity markets have fallen this morning, extending yesterday's losses after the ubiquitous morning ramp. This has driven stocks down to unchanged from the close of last week's "hawkish" FOMC day...

 

 

S&P briefly joins Crude, Bonds, and Gold in the red post-FOMC day...

 

Of course - a bounce will ensue - but with credit and VIX decoupling, we would not be surprised to see FOMC Day lows tested before this is over.

 

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Thu, 11/05/2015 - 12:08 | 6753757 HedgeAccordingly
HedgeAccordingly's picture
Weak crude and declinging yields set the table for equity selling... 

 

Gone in 250 milliseconds: Market Making From Crowded Floors To High-Frequency Trading
Thu, 11/05/2015 - 12:19 | 6753798 Hitlery_4_Dictator
Hitlery_4_Dictator's picture

No, nothing is negative for stocks. 

Thu, 11/05/2015 - 13:04 | 6753931 Spitzer
Spitzer's picture

I agree. Japan is on QE 15 and her stock market has not made a new highs since the 80's.

But the US cant lose. Not even once. Magic

Thu, 11/05/2015 - 13:53 | 6754140 BullyBearish
BullyBearish's picture

When long panic buying is exhausted, it's time to load up the shorts for the next MASSIVE squeeze

Thu, 11/05/2015 - 12:09 | 6753763 Hype Alert
Hype Alert's picture

A down day?  Frame it!

Thu, 11/05/2015 - 12:17 | 6753784 asteroids
asteroids's picture

Stawks never go down on FED or ECB days, but two or three trading sessions later, they give it all back. An opportunity for the boyz to make a few bucks while they laugh about the charade.

Thu, 11/05/2015 - 12:32 | 6753840 Callz d Ballz
Callz d Ballz's picture

This slight pullback warrants a "bug in the headlights" pic. 

Thu, 11/05/2015 - 13:06 | 6753941 Spitzer
Spitzer's picture

Dont worry Amanda Drury already tweeted adios to the correction. Go long with leverage.

Thu, 11/05/2015 - 14:45 | 6754377 asteroids
asteroids's picture

Go long  Drury cleavage, there fixed it for yah.

Thu, 11/05/2015 - 12:41 | 6753860 Yen Cross
Yen Cross's picture

     The unicorns can't keep up with rising bond yields and stronger $usd.

Thu, 11/05/2015 - 13:00 | 6753915 Seasmoke
Seasmoke's picture

That strong USD is a bitch. But moral hazard is a much bigger bitch. 

Thu, 11/05/2015 - 13:05 | 6753938 r3ct1f13r
r3ct1f13r's picture

Does this beg for the creation of the Unicorn Sovereign Debt ETF?

Thu, 11/05/2015 - 13:06 | 6753943 Uranium Mountain
Uranium Mountain's picture

Interesting if Yellen made her comment to purposely test the market reaction.  A dry run so to speak.  So much emotion.  We can see what's happening with just a hint of it let alone the actual doing of it.  It's unfortunate honest people fall victim to feds games. 

Thu, 11/05/2015 - 13:19 | 6753989 DavidC
DavidC's picture

She also said the Fed will consider NIRP. She, and the Fed, are NOT in control, they don't know what they're doing and they're scared out of their minds as to what may (will?) happen if they and Draghi et al stop jawboning the markets higher.

It WILL fail because it HAS to,

DavidC

Thu, 11/05/2015 - 13:07 | 6753944 franzpick
franzpick's picture

And leading the way down for the past week have been PMs with Dec Ag now in the 14s, with a 2 month coil-breakout-reversal pointing soon to 13, and equities HUI and XAU down 4% today on their way to nearby 15 year lows.  Stacking cash to buy more phyzz cheaper, later, is probably still working:

http://www.investing.com/commodities/silver-advanced-chart

http://bigcharts.marketwatch.com/quickchart/quickchart.asp?symb=xau&insttype=Index&freq=2&show=

Thu, 11/05/2015 - 13:26 | 6754010 SSRI Junkie
SSRI Junkie's picture

"Is A "Hawkish" Fed Bad For Stocks After All? S&P Gives Up All Post-FOMC Day Gains"

 

no. it just creates more btfd opportunities for those who know what is going to happen

Thu, 11/05/2015 - 13:53 | 6754103 Keltner Channel Surf
Keltner Channel Surf's picture

Coordinated VIX slam on muted pre-JOBS volume used to roil post-open shorts again, many indices sprinting back toward Unch, thorax-piercing wicks on bottom of Daily candles, but ... still 3+ hours to go.  Seems some may be betting the BLS seasonally adjusts us to a 2023 rate hike.

Thu, 11/05/2015 - 14:46 | 6754381 slammin_dude
slammin_dude's picture

WTF was hawkish? Didn't she throw out the most important line and basically stated that NIRP is on the table if the "data supports it"....???

Thu, 11/05/2015 - 15:38 | 6754616 brada1013567
brada1013567's picture

Ackman went to go find Beeks.

Thu, 11/05/2015 - 15:52 | 6754689 brada1013567
brada1013567's picture

Algo1: Don't worry we will have it back to 2,100 by the close.

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