Buy-The-Black-Monday-Echo-Dip - Stocks Dip & Rip After China Bubble Warnings

Tyler Durden's picture



NOTE: Before we start - something went very funky in the last couple of minutes of the market today - TRUMP SAID TO BE LEANING TOWARD POWELL FOR FED CHAIR: POLITICO - a Dovish pick...

For a brief moment there this morning, some reality poked its head out of the cave after PBOC's Zhou raised fears of asset bubbles needing to be controlled, Hong Kong stocks crashed, Spain appeared to invoke Article 155, and AAPL slid on sales concerns... but that did not last long as commission-takers reminded the machines that 1987 can never happen again.. ever.. and that every dip is beholden to be bid...


Small Caps and Nasdaq remain red on the week as The Dow pushes on...


Once US equity markets were open for action - risk-off became risk on...


Everything the same...


VIX briefly spiked above (drum roll pls) 11 before being beaten back once again...

The decoupling remains...

Tech stocks tanked today (FANGs and AAPL leading the way) but did not bounce like the main indices...


Trannies tumbled early, driven by a plunge in airlines (but even that was bid)

United shares fell as much as 12 percent, which would be the biggest drop since October 2009 on a closing basis, after the airline’s profit outlook disappointed investors. UAL’s forecast for a pretax profit margin of no more than 5 percent this quarter means it will fall further behind industry leader Delta, according to JPMorgan.


Healthcare stocks extended their gains - despite no deal..


Financials were the big dip that was bought...


Treasury yields were all lower (and the curve flatter) on the day...something seems to be happenening between the close of Asia and the close of Europe...


And as the yield curve flattens to bank stocks keep outperforming!!


For the 3rd day in a row, the dollar index reversed its early trend (this time from weaker to stronger) after Europe closed... The dollar index bounced perfectly of unchanged for the week...


EURUSD has been the week's biggest gainer so far of the majors and Cable the loser...



Gold jumped overnight with everything else (mirroring USDJPY as usual)


WTI slid to one-week lows on the heels of rising inventory concerns...


Bitcoin continued its rebound, erasing the week's losses...


So now what?



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jamesmmu's picture
The Structural Conditions That Will Spark The Coming Economic Crisis

Kaiser Sousa's picture

u know I’ve found it rather puzzling over the past 7 years how those reliable “investors” always “buy the dips” in the last hour of “trading” in London and manage to wipe away 100 plus point losses on the Dow Jones Propaganda Index…

and by golly, it happened again today on guess what???







........('(...´...´.... ¯~/'...')


...........\.............. _.·´







"when the same bullshit happens every fucking day there’s no need to write, just cut and paste…”

- Kaiser Sousa -

LawsofPhysics's picture

Indeed.  be well Kaiser...

"Full Faith and Credit"

Kaiser Sousa's picture

like wise LOP...

but this bullshit still pisses me the fuck off...

ps: still stacking...

over & out.

LawsofPhysics's picture

Excellent, you can eat at may table anytime. may just have to go back are re-read "A tale of Two Cities" again...

Kaiser Sousa's picture

would be a honor man...

lets back channel sometime soon...

btw: having some interesting Tee Shirts & Seat Shirts custom made...

i bet u can imagine the themes...

D.r. Funk's picture

If anyone wants to actually debate endgame. That would be like. Kinda cool. The intermittent portions of drek on this page are pretty apparent

GotAFriendInBen's picture

there's always a reason

just give the electronic glowing puppets a few minutes to craft one

Solosides's picture

This is your daily reminder asking: what have you done to commit violence against the sociopathic ziocon banksters today?

Kaiser Sousa's picture

answer: i continue to shed debt coupon dollars for the only 2 forms of real money while simultaneously sheilding my collective from whats coming to these bankrupt shores...

other than that i have contemplated shooting a Goldman employee in the face upon exiting their building in the financial district...

but then that would probably complicate my answer above now might it???


D.r. Funk's picture

overly uniform almost straight line, almost full session djia

The straight lines started in 14

"Ok" "There's no master guidance on the indexes" "Nope"


Keltner Channel Surf's picture

Good Lord !!!    Fellow ZH-ers:  some context re: why this Funk fellow announced below that I’m no longer welcome here (as a non-conspiracist) before cluttering the page w/ 97 add’l infantile posts:

He’s apparently angry that I took the time late last evening on the market wrap thread to counter his “Dow component control” conspiracy theory as being nothing more than ‘closet indexing,’ a practice by which investment mgmt firms can very closely approximate their index bogies through a relatively small basket of names, 15-30, depending on the index, and then tweak industry weightings or names just a bit to try to outperform, but still ensuring perf is never far enough askew that public fund consultants will get them fired (and get big bucks doing a new ‘manager search’).   Can also be cost-efficient, depending on commission structure.  Was drawing upon both institutional mgmt and consulting experience from many years ago.

I saw it as a classic case in which an excitable neophyte sees the end product of a common procedure, and goes off the deep end (“Look!  They’re ramping a few key Dow names to get it green!”).   Along with the fact that the Dow (and retail, for that matter) has had little importance for a few decades, was just trying to educate a bit, and bring him back to earth.  But, as you can see, he prefers zero gravity :)

In any event, the sociology of conspiracy is of particular interest to me, so I imagine he’ll have to learn to play with others.  And now, back to your regularly scheduled programming ...

D.r. Funk's picture

You're wasting you're time now, as much as bluehorse. I said it's two different paradigms, and you generally should not be here. Yeah.

You do realize the basis for Zerohedge is rote-conspiracy, Or are you really that dense.

Lastly, I don't know know how the djia and retail mattering or not is relevant to my analysis. I'm well aware of the context of dow and retail.

Programming of the indexes is no longer theory. As of quite awhile ago. You're not welcome here and you're welcome to stop wasting my time

You will remain of course. hopefully less and less around me


Keltner Channel Surf's picture

Ha !  Ok, my final reply to you, ever:  get some help -- soon.

D.r. Funk's picture

Taking the mental prognosis tact. Classy.

BreadnH2O's picture

Maybe you could change the lyrics to Raw Power and get through to him?

Keltner Channel Surf's picture

Would be wasted effort, no?  ‘Programmed’ with respect to algos no one questions, most daily trades are computer-generated, but given the obsessive need for an easy, top-down reduction, his only possibility is a single ‘commander’, rather than the collective interplay of mean-reversion algos.   If he actually traded, he’d see the battle lines being drawn.

Nah, no Stooges, he seems like more of a Taylor Swift fan, so instead it’d be something like:

And I don't know how it gets better than this
I’ll tip my hand:  5 shares of TVIX!    Fearless !

D.r. Funk's picture

If-then subroutines and For-next subroutines


Whatever high exposure to the inner-mechanics of 80s and 90s trade process and flow you have




I've been to ...way... more concerts than you have Mr. Fuck. Triple digit range. Keep wasting your time. My time. Everyone's time. Why you feel it's necessary is one of the world's wonders

D.r. Funk's picture

And yes i know about mean reversion algos. All those players are on the field. Saying there's an "overlord-programmer" does not mean 1 party is responsible for all movement in the stock market. Pls stop being SO fucking moronic

BlueHorseShoeLovesDT's picture

Wow do you own ZH, slick, you are legend in your own mind.

Maybe you should change your moniker to mr. Tyler.

Keltner Channel Surf's picture

"The straight lines started in 14"   Perhaps he's referring to the alien abductions he experienced?

To get serious for a moment, this is quite sad to see, the complete lack of actual knowledge replaced with a tautological web of delusions, and a message board given a greater importance than life itself.  Going forward, not worth engaging, will just spread more of his fabulated misinformation and fill the page with middle school banter.  You were right, he's serious ... and seriously fucked up.

D.r. Funk's picture

1. I told you. You don't belong on this page.

2. "Straight lines" is shorthand. Yet a psychoanalysis on it.

3. Not worth engaging. Exactly. What I said. Earlier. You to me. Me to you.

4. Misinfo? I'm the one who identified O and L as Disinfo. Middle school? Bluehorse

5. The "seriously fucked" allegation? Ironic. Squared. And I'm moderate in general conspiracy terms


D.r. Funk's picture

If anyone wants to actually debate endgame. That would be like. Kinda cool. The intermittent portions of drek on this page are pretty apparent

Iconoclast421's picture

Haha who really doubted they were going to pump this sucker into the green by close?

Golden Breakout's picture

Everything's great, it's all fucking great. Don't worry, be happy.

BlueHorseShoeLovesDT's picture

Many brave Vix gave their lives fighting for record green today, President Trump will be calling all their families to express eternal gratitude.

ParkAveFlasher's picture

I'm sorry, enough of this soccer bullshit, I'd rather watch Montana connect with Jerry Rice.

Tim Knight from Slope of Hope's picture

I think we can ditch the 1987/2017 analog. Ain't gonna happen. Not even a tiny bit.

AllStarInvestor's picture

Heard 3 interviews on CNBC and Bloomberg that cited the Fed's Plunge Protection Team for the reason we cannot have anymore large sell-offs...last was the financials analyst at InterActive Brokers on Bloomberg this afternoon. I never got the email!

D.r. Funk's picture

Yeah but theyre cannibalizing the vix

(As I correctly called and described in Feb)

Whether it's they or just happening or whatever

With all the other dislocations and extremities and overelongation

There's no rational argument that an UNWIND will not occur most likely sooner than later


BlueHorseShoeLovesDT's picture

Mr. Fuck, if you correctly called that why are you always going long UVXY?

Dilluminati's picture

No articles today where somebody earns the cocksucker award of the day label, or ridiculous cunt award.. 

Tyler, give us low hanging fruit to lampoon...

Giant Meteor's picture

"Tyler, give us low hanging fruit to lampoon..."

Already done with report of lowest new jobless claims since 1973 ..

Apparently we're now fully employed, fat, and happy !

Well 1 out of 3 ain't bad !

Dilluminati's picture

Good point, but there has to be a cunt of the day award, to someone deserving.  Hillary wasn't in the news so hmmmmm.

QE4MeASAP's picture

Cue Admiral Ackbar watching the super star destroyer crash into the death star.

Keltner Channel Surf's picture

Outrage continues to grow on reports the 'Nutrition Police' have been altering classic film blu-rays sent to local libraries.

e.g.:  "Leave the cannoli.  Take the gun ..."

D.r. Funk's picture

You do realize that saying "indexes are not manipulated" on zh is patently insane

BlueHorseShoeLovesDT's picture

The arbiter of ZH too fucking funny, got any more, mr. Fuck?

BlueHorseShoeLovesDT's picture

Having a martini right now, Mr. Fuck

D.r. Funk's picture

[made this comment down the page. pretty clear who the fools are. and im starting to ween off the time wasting. you will continue that's for sure. will get old soon]

Your kind of sentiment was par a'la 2014 lateish to 2015. Just filling you in and adding context.

The misinterpretations of it being or still being a market, are still numerous, even here.

The over-overwhelming logic is a few of the metrics and indexes were commandeered. Programmed


Vix... became one of their primary tools. Vix suppression was clear and further documented through 14 and 15. Make more sense? Should start to. Organic, more normal functioning of the market/vix would have shown itself, many, many a time if artificial constraints weren't present/active

BlueHorseShoeLovesDT's picture

Please, mr. Fuck, explain to us anything that you have ever been right about.

firewire888's picture

This time period will be known as "The Great Scam"

Keltner Channel Surf's picture

I guess 'Royal Scam' was already taken ...

kermudgen's picture

If my reply offended any stupid people reading this thread, I am heartily sorry for my sin.

kermudgen's picture

If my reply offended any stupid people reading this thread, I am heartily sorry for my sin.

D.r. Funk's picture
If you don't ascribe, to conspiracy narratives, who cares. We're in different paradigms, you're gonna say "That's bunk" to everything I say, And I would "We're way ahead of you" to everything you say. You're not welcome here to waste Everyone's time, which is all you're accomplishing when you're meshing incompatible neuralpaths [in "our" house......] as just pointed out. Go. Why bother being here? Go. Elsewhere. Selection-aplenty