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Commodities Inverse Plunge As Treasuries Catch Up To Stocks
We are 30 minutes into the day session. Do you know where your sanity is? Silver and Oil (over $102) are up 3.5% from last week's close, Copper and Gold up 1.5-2% and the USD down 0.7%. The USD weakness, along with Treasury selling, is enough to juice stocks up nicely as they catch up to yesterday's European extravaganza. European sovereigns are giving back a lot of their gains from yesterday so far but ECB buying chatter is supporting BTPs at the moment. US financials are up 2.8% as the Treasury-Stock disconnect of last week converges rapidly.
Oil is nearing its mid-Nov and mid-Dec highs - which would take it back to six-month highs as Gold inches ever closer to $1600 once again (hitting $1598 intrday this morning).
The disconnect from 'normality' that we occurred late last week (the orange oval indicates the typical correlated relationship) between stocks and bonds has converged considerably this morning already as Treasuries sell-off to equity's ebullience. Stocks and the USD are linked at the hip once again - after some disconnect into the close of the new year. Arguably stocks remain a little over-exuberant relative to broad risk assets here - especially as Spanish spreads (among others) are well off their best levels of the day.
Charts: Bloomberg
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Time to stack that silver!
Bought Silver Eagles for 4.000 federal-reserve-crap right at the dip last week.
*applauding myself*
golf clap
Has passed already!
Sanity is overrated.
Lithum makes the charts a lot prettier.
+500 today.
Suicide is painless......"MASH".
http://www.youtube.com/watch?v=BVUXPjFWfX4&feature=related
http://en.wikipedia.org/wiki/Suicide_Is_Painless
Yum yum eat 'em up!
With all the free money sloshing around we have time for a little mania party
Till the bill comes due and we realize it's us that have to pay for it all
rest assured!!
THEY PROMISED THAT OUR KIDS WILL PAY FOR IT ALL AND NOT US!!!
I think this is the year we'll all realize it's our kids AND us as the economy sours and life get harder for anyone but the 1%
PROZAK FOR EVERYBODY!!!!!!
Zoloft.
It's all about price staaa beee lee tea...
How about some Thorazine to wash that down, followed by the usual dose of Corruptol?
So the treasury surge was end of the year window dressing.
but Robo Trader said it was all due to the insatiable appetite for US Treasuries...
That and someone wanted to see silver actually post a loss from 1/1/2011 - 1/1/2012.
Spain is a mess, people too busy shorting that to bother with Italy.
That factor-of-two deficit "booboo" was a doozy, yeah.
Go, Team Icarus!
Happy days are here again
The skies above are clear again
So let's sing a song of cheer again
Happy days are here again
http://en.wikipedia.org/wiki/Happy_Days_Are_Here_Again
those lucky Spanish people with all their vacation time....
I only have 37 paid vacation days...
AND MOST OF THEM HAVE 365 PAID VACATION DAYS!!!
as soon as they find out, they'll go on strike to protest to be compensated for the one day every 4 years on LEAP YEARS...
37!? For Pete's sake don't tell the Yanks. Now get ready to be called a lazy bitch...
yeah, try 15. 20 at five years tenure.
Those of us who are self-employed get ZERO paid vacation days. But we can take as many as we like. On the other hand, the boss is an incompetent bastard.
So what happens when Ben denys all these hungry QE3 front-runners at 2PM?
Looking at the leveraged ETF's, someone is selling this rally.
"No Stairway?... DENIED!"
http://www.youtube.com/watch?v=RD1KqbDdmuE
"European sovereigns are giving back a lot of their gains from yesterday so far but ECB buying chatter is supporting BTPs at the moment"
What's symbol for the ETF that trades ECB chatter?
FORK... Then there's the 3x ETF symbol LIE
QE3 pre-announced to the TBTF?
QE3 re-expected by the TDTS (too dumb to succeed).
Now that the entire Fed board are all doves I think we know what to expect.
When Doves Laugh- 4 Weeks Until The Quiet Coup In The Fed Gives QE3 A Green Light:http://www.zerohedge.com/news/when-doves-laugh-4-weeks-until-quiet-coup-fed-gives-qe3-green-light
And when doves cry, Prince makes another million.
How can u just leave me standing?
Alone in a world that's so cold? (So cold)
Maybe I'm just 2 demanding
Maybe I'm just like my father 2 bold
Maybe you're just like my mother
She's never satisfied (She's never satisfied)
Why do we scream at each other
This is what it sounds like
When doves cry
Sorry, I am in a stupid mood today. It must be the new year spirit.
absolutely - qe3 announced to the banks. these swings are amazing, where bac is up 5% - trades like the penny stock it should be. how in any way does any of this resemble 'investing'?
http://www.bloomberg.com/news/2012-01-03/did-psychopaths-take-over-wall-street-asylum-commentary-by-william-cohan.html
Real money coming back from vacation?
Public Corporations behaving like psychopaths has been mentioned several times before. It has to do with the disconnect between management of the company and ownership. Basically, You have all employee ran companies where the only purpose is profit. First thing they taught me in business school. On the other side you have investors as opposed to owners who interested in capital appreciation. Therefore, the resulting entity becomes a psychopath that requires constant guidance or regulations to be kept on check if at all possible. As long as there is no law for dumping extremely toxic chemicals on lakes, then there is no problem. I am just doing my job (moral justification).
Owners in private entities tend to provide a moral compass or empathy for what their organizations (business) are doing. The movie Puncture makes passive mention of glass syringes, and the resistance by a business owner to switch over to plastic. Glass syringes can be sterilized by heat whereas plastic cannot. Today in Africa, plastic syringes are boiled in an attempt to sterilize them, and they are reused. Is the incidence of HIV on babies in Africa a cause of sexual behavior or unsterilized needles? Hum.... God must hate them just like the gay.
Let's see if Iran fires a couple of missiles to get crude above $103 so that the market can then hit their sell orders. That will be mission accomplished and thank you very much Western Idiot Power Amerika for playing.
http://vegasxau.blogspot.com
but i thought gold was in a bubble?
All the indices are screaming Overbought Overbought Overbought at major resistance......AGAIN....lol!!!
Suppression machines slow starting up after the holidays. We'll be back down before long.
Time for me to get levered long.
As usual, you have learned nothing. What happened to the last set of folks who were levered long?
MF Global'd.
With a little more money printing and saber rattling let's see how quick we can get WTI to $150. That should put the economy on stable footing.
<on average> Every $10 dollar increase in oil reduces U.S GDP by .5%. Letz get ze poty stoted
Except for Nat.Gas another new LOW...every week..even today..with all this hype...down another 52 week low...Nat Gas stocks are way overprice..just like nat gas...
2.936 is like givinig it away for free.
Look at the price in Dec 2005...so funny when looking at todays prices.
Anyone that thinks USTs are safe are morons. They are backed with faith and creit, which is like "Hope and Change", and by now, everyone should know how that works out.
With Japan and China and Russia now trading freely without the dollar, it is important that Bernanke releases his Green Chute upon the world and flood said world with dollars to make sure he pays back Timmah's UST on the penny. This was a main reason for the Euro Mess; it isn't just about Europe. Remember to watch the LH while the RH is moving.
So glad I never short this broken market.
Still short Dow from 11500.. Bring the pain BITCHEZ!
So glad someone is making it cheaper to short this market.
http://www.youtube.com/watch?v=QWuXmfgXVxY
Did silver this morning, starting at about 6:30, Begin forming an upside down head and shoulder, if so, does this signal a larger move up?
If you cross your eyes slightly and focus on the center, it sort of resembles a inverted reverse cowgirl.
I really hate when people who are "experts" come out and declare a gold bear market, then when this sort of thing happens, they never have to explain why they were dead wrong.
A one day rise or fall does not make or break a bull or bear market. With a six month sustained fall, one could make an argument for a bear market emerging, but even that is quite premature.
I agree with the sustained fall argument. But it isn't even down for the most recent 6-month period. I just hate when the bloviators see gold down for a day or two and jump on the bandwagon to instantly proclaim a bear market.
Grains exploded higher this morning also! I'm sure its just coincidental! Corn up 11, beans up 28, wheat up 12.
Poor snowfall in plains and midwest - forecasts for poor crops come summertime ?
DBA soaring ?