Stocks Plunge, VIX Spikes After "Hawk Cop" Fischer Spoils "Dove Cop" Yellen's Party

Tyler Durden's picture

Despite Yellen's hawkish tone, market participants clung to dovish hopes in her words... but Stan Fischer just clarified "Yellen's comments are consistent with a possible September hike" and that has spoiled th eparty in stocks, bonds, gold, and the dollar...

Fischer explains...

  • *FISCHER: I DON'T THINK FED IS BEHIND THE CURVE
  • *FISCHER: ECONOMIC PICTURE IS VERY COMPLEX
  • *FISCHER: YELLEN'S COMMENTS CONSISTENT WITH POSSIBLE SEPT. HIKE
  • *FISCHER: BIG ISSUES IN GROWTH ARE INVESTMENT, PRODUCTIVITY
  • *FISCHER: ON EMPLOYMENT, WE'RE DOING WELL
  • *FISCHER: FED IS RESOLUTELY NOT A POLITICAL BODY
  • *FISCHER: WE AREN'T ELECTION FORECASTERS; LOOK AT ECO. SIGNALS
  • *FISCHER: IN FOMC MEETINGS WE DO DISCUSS SUBGROUPS OF EMPLOYMENT
  • *FISCHER: NOT TOO CONCERNED ABOUT ASSET BUBBLES NOW

So to summarize:

Yellen: Hawkish titled speech but offered this dovish bone: "future policymakers may wish to explore the possibility of purchasing a broader range of assets."

 

Fischer: Hawkish tone confirmation "Yellen's comments are consistent with a possible September hike"

Which broke the tie for the algos... and the market reacts...

 

VIX is soaring...

 

And The USD is surging...

 

Stocks have slumped to 3-week lows...

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slaughterer's picture

Fischer just wants to give his friends at Citi another dip to buy before EOD.  

Infocat's picture

When will the final collapse happen. We are all fed up with waiting! http://www.truthjustice.net/

Deathrips's picture

The head zionist speaks and commands that life continue being stolen by usury.

 

Fuck you Fischer!

http://harvardmagazine.com/sites/default/files/1978_Alexander_Solzhenits...

 

RIPS

nope-1004's picture

*FISCHER: ECONOMIC PICTURE IS VERY COMPLEX

 

lmao.  Only 1 tool exists to these imbiciles:  Monkey with the federal funds rate.  That's it.  Everything else they do comes down to manipulating rates.  Release QE (money printing)?  Manipulate rates.  Banks exposed to MBS and bad CDS bets?  Manipulate rates.  Banks on hook for massive housing write downs?  Manipulate rates. 

The result is always asset bubbles, which are the signs of hyperinflation creeping in.  These are direct consequences of a debauched currency and a worthless unit of exchange.  If the unit of exchange weren't debauched, it wouldn't be worth sub 1% and things like building products, food, housing, vehicles, education, and clothing would be up 200% + in a matter of a few years.

Stop lying Fischer.

We need to END THE FED, a private entity that controls not only our money and economy, but foreign economies and wealth as well.  It is truly satanic in nature and wholly corrupt.  People need to be aware of how damaging it is to humanity as a few are enriched while masses are enslaved and starve.  The FED is a humanitarian crisis.  It needs to be invaded and destroyed.

 

BaBaBouy's picture

Abbott and Costello ~~~

Soul Glow's picture

When we all least expect it, which sounds funny because we all expect it, but it will be a black swan event, or what I like to call a "Whiteness of black swans".

A black swan event being the media says, "We didn't see that coming!" and a 'whiteness" as that there will be many of them one after another.  A "whiteness" is a group of swans and that is what it will be.  A black swan event will trigger another, then another, until it is like a plane flying windshield first into them.  Look around though, banks everywhere are gasping for air.  DB, almost every bank in Italy, health care stocks, car sales, the Japanese equity markets where half of all companies are owned by a bank that prints money based on future revenue to buy them.  And Japan, let alone every government out there, can't get GDP up to save their lives.  WHere's the future revenue going to come from?

And then there is the Fed - the leader of this experiment.  They and the US Treasury own trillions of bonds that our once great nation will never pay back.  All this and the fiat system slowly drains itself into an inflationary hell.  Oh, and gold has been manipulated to the point that the layman on the street sees it as a barbaric relic because that is what the slavemaster media has been telling it.

It will happen.  It will happen when the last silver vault is empty, or the last gold vault is bare.  That's why Soros looted the Ukraine, and why the CIA looted Venezuela and Lybia.  That's why they went after Syria.  The armies are still finding gold in holes as of now, but when they start coming up empty handed then they will stop picking on the little guys and come at each other.  

Bay of Pigs's picture

Good to see you bro. I'm in Thailand now visiting for a few weeks. Be back on the mainland in Sept. and hope to be down your way in Oct. or Nov.... Hope you are doing well Mr. LH!!!!

Dewey Cheatum and Howe's picture

all of this ratchet jawing just shows how desperate these hacks really are. they know they are not only behind the curve, they are precisely behind the 8 ball. at this point all they have left is spoofing market rallys. there will be no inflation(no matter how hard they try) BECAUSE WE ARE IN A LONG TERM DEFLATIONARY CYCLE. Try this Ficsher keep your mouth shut and take some real action.

Hal n back's picture

so much for Reg FD-if you were not invited to JH, you learn the stuff second hand

Dr. Engali's picture

Different day, same old song and dance. They're just trying to manage the range. The fact that anybody takes what they say seriously just goes to show just how stupid the smartest men in the room really are..

Soul Glow's picture

The only way to invest is long term, everything else is a scheme.  Will the next equity crash be this year?  Next year?  Five years?  Same question for a rise in rates.  But one thing is for certain.  There will be a day of reckening.  I think dollar bulls and gold bulls can agree that cash on hand and silver in the hole is better than being a part of the banking facade.

When Markets Fall's picture

Well, we are here on ZH posting about it too so...

Oldwood's picture

We profess not to believe in God, yet secretly mumble prayer beneath our breath.

The whole thing is a fraud, but regardless of if we are participating in the fraud, it will take us all down with it. If we were simply trying to preserve and protect our wealth, our savings, our security, it would be one thing. But the monster that is driving this is greed and the desire to EARN from it, not just preserve. So while we denigrate this mess for what it is, we stand by watching and waiting, for we know that the bell likely soon tolls for thee and me.

pundog's picture

The old trading maxim seems appropriate, never panic, but if you have to panic, panic first.  Nobody knows anything and they all have one foot out the door  which is all you can  when leveraged up like so many funds and pensions. 

adr's picture

After blowing the biggest asset bubble of all time, making the tulip bubble look like like the textbook definition of sanity, they aren't concerned.

Wow72's picture

Here's a clue:  ITS ALL FUCKING BULLSHIT! THEY ARE FUCKING SCUM? VERY SIMPLE.  GIVE US A REAL FUCKING MARKET?

LISTENING TO THESE ASSHOLES IS A COMPLETE WASTE OF EVERYONES TIME?

stocktivity's picture

I've been posting "It's All Bullshit!!!"  for 4 years.

Vlad the Inhaler's picture

He just made a lot of traders very unhappy.

SheepDog-One's picture

Quick! Send in the clowns!

RamzaBehoulve's picture

It's exact same pattern every single time. Works with Draghi too.

anarchitect's picture

Yes, and how many times would it fool professional investors?  The answer is not many, which proves that central banks are backstopping their own bullshit.

jamesmmu's picture

I purchased thousands more of VIX etf at today's bottom. Its up 10% now. I'm on fire!

1stepcloser's picture

On fish's desk, Trump's poll numbers are on top of umemployment numbers.

SheepDog-One's picture

But, Hitlery just gave a phone interview to CNN! All is truly well!

1stepcloser's picture

said she can do it a 3 AM to prove she isn't on any sleeping medication...

stocktivity's picture

CNN ...ha ha, they just canned the "Dr Drew" show because he mentioned that he thought she was sick. Ha Ha (excuse me, I just burped).

Vlad the Inhaler's picture

He may want to refrain from weightlifting or showering for a few weeks.

Oldwood's picture

Accidents happen....terrible and unfortunate accidents that will be investigated and determined that no reasonable prosecutor would pursue.

PAWNMAN's picture

What a cluster f*&k these mummies are! Someone put them out of their misery. And ours!

Mass_hysteria's picture
Mass_hysteria (not verified) Aug 26, 2016 11:56 AM

no ur a bunch of gangsters 

Eagle40's picture

Employment doing well???? Are you kidding me!!!!! 15 million more on welfare, labor participation at 96 million, and average household income declined at around $5000 in last 10 years. I guess all those part time low income jobs are just doing great. What a load of bullshit.

LawsofPhysics's picture

Don't be so pessimistic!  Sounds great!  now raise those rates motherfuckers!!!!

Quinvarius's picture

 I think the market is more surprised that someone spoke after Yellen than about anything he said.  But to clarify, yes they do care about the election, as much as their own image.  That is why stocks will close up today, on a day they are walking their baby nuts around the cabbage patch.

Seasmoke's picture

A lot of dual citizens. With dual mandates. Who double talk and double fuck the Goy.

Consuelo's picture

 

 

And doing so since 1987 - nearly 30 years...    Now go watch a re-run of Seinfeld and be happy...

VWAndy's picture

 This is the Fed talking out of both ends at the same time. They got zacktly bad.

Consuelo's picture

 

 

The 'market' reaction to their jawboning is all this den of moneychangers need to see in order for them to be confident in continuing their Bullshit.

 

 

 

 

E.Shackle.Ton's picture

It is interesting that the markets believe Fisher but not Mr. Yellen.

When Markets Fall's picture

Dow really tanking now.  Fischer is probably looking across the table saying: "What did I say?"

kivod's picture

gold options expiry at 13:30 .......

Burltron's picture

Never seen this culmination of fucking idiocy in the markets. Sheep and lemmings having orgies trading today.

venturen's picture

jeckle....hyde...What difference does it make...they made their litter box and now have to live in it!

Bill of Rights's picture

Nice FED created volatility here, just like toward the EOY it will be another FED created crisis you just watch...

LawsofPhysics's picture

Yeah, yeah, sure sure...

Remind me, what are all these "markets" price in again?

That's the only thing anyone should be worried about right now.

VWAndy's picture

 Price discovery is not possible using a variable like $s.

Argenta's picture

I give up.  What part of the Fed can't raise rates concept do these people not understand?

-Argenta

LawsofPhysics's picture

What part of "Full FAITH and credit" do you not understand...

 

But yes, all fiat heading to zero, eventually.

RopeADope's picture

There had been multiple failures to clear key levels this week. This market is showing a lot of weakness now that there are no shorts to run against.

Patience my friends.