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Facebook Plummets To All Time Lows As EUR Exodus Crushes Commodities, Slams Stocks
It was all going to plan until that early angst from Egan-Jones Spain downgrade was increased by L-Pap's 'sky-is-falling' Greek exit plans comments. Treasuries had leaked higher in yield and recoupled with stocks (after the divergence yesterday) but the USD (driven by EUR deterioration) was pushing higher (diverging from its recent correlation). This was dragging commodities lower but gently as stocks (especially financials) continued their dead-cat impressions. Even Facebook showed signs that the deluge of reality was coming off its shoulders. By the European close, stocks had pulled unhealthily high relative to risk-assets in general (once again) and credit was lagging a little. The Spain downgrade news stalled the EUR which began to slide - as did Gold and Silver along with USD strength - but Treasuries kept on limping higher in yield and tracking stocks, Then in the last hour of the day the L-Pap headlines - along with an increasing sense of deceleration (we saw heavy volume come in just after the European close - suggesting covering of the heavy volume up from the bounce lows yesterday) - and all the momo names started to lag with AAPL losing steam (more schadenfreude there after our comments yesterday) and then financials stumbled off their exuberant highs (though JPM managed a very good gain of over 4.5% still - as IG9 compressed for the first time in a few weeks). S&P 500 e-mini futures (ES) managed only a small loss but all the positive momentum was lost and large average trade size pressure came in at the close as it tried to get up to VWAP. VIX gained 0.5vols to close back above 22.5% and the term structure bear-steepened a little more. Yesterday's credit-led strength faded today, as skews normalized, with HYG losses and a renewed fear of the ETFs and indices leaking into the real bond market soon once again. Clusterbook is trading $30.80 after-hours with over 101mm shares traded!
Stocks (blue) and Treasuries (red) recouple today - sliding together at the close. USD strength (green) and Gold weakness was notably divergent from early Monday's tight correlations...
Stocks played catch up to credit (upper left) and broad risk assets (CONTEXT upper right) this afternoon as their exuberance once again got the better of them. Correlations dropped (lower right) but VIX pushed up to its equity/credit fair-value by the close (lower left)...
Facebook dominated headlines and fell to an after-hours and all time (all 2.7 days of it) low of $30.79 after trying and failing to regain the lows of yesterday...more exits (and more lawsuits)....
Gold and Silver recoupled briefly this morning but then silver's higher beta nature took over as the USD surged this afternoon. Oil and Copper remained joined at the hip but slid on the USD strength also...
The USD is up 0.65% on the week - so Gold and Silver are likely suffering collateral/liquidation issues on top of currency translation - but the message today (as seen above in CONTEXT) was much more about carry-trades being lifted as AUD and EUR (relative to the JPY) were unwound notably - especially at the close in the bigger higher volume selloff...(higher on the chart is USD strength)...
Charts: Bloomberg and Capital Context
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We've got a summit tomorrow and record Euro shorts. Good combo
We're in for a face-rip-roaring good time!
I think all the sheeple that bought into the massively overhyped FB IPO should adopt the mentality of silver bugs: as the price continues down, pretend that "price doesn't matter" and all that matters is the number of ounces/shares you have. Then pretend that there's a decoupling between the fiat price and the value of the actual physical metal or equity in the company. This way, as your wealth continues to evaporate, you can pretend it isn't.
MF
Do you pretend your wife isn't fucking the kid who mows the lawn, too?
Max Fischer - Hermus Inconseqentia
lol! I heard his name is Mark. He needed to pick up a part-time job on the weekends.
Dear Max,
Utinam barbari spatium proprium tuum invadant.
Is that "troll" in pig latin? (or does it mean "you can commence junking me at will")?
~Max Fischer (Wifus assus fuckus lawnmowerboyus pretendus notus)
I don't care much for Mr. Fischer and I hold a lot of silver.. but... that comment deserved a vote up.. LOL
Knife Party - Internet Friends
It is very confusing!
If FB trades higher or lower they are criminals.
Either it is underpriced so they stole or it is overpriced so they fleeced
It is this incredible consistency that keeps bringing me back for more.
The two headed coin.
Get the Latex Wipes Flunky!
Underpriced ????? Source please ????
Was the second sentence invisible or just didn't appear in english?
WTFU if it was trading at $60 you would be saying obvious robbery took place,
now while it is trading at $30-guess what? Largely saying the same fucking thing.
Thanks for the laugh, is that the locative or accusative form?
You don't say.
Facefart debut was 5 days ago 4 an all time high of whatever U smoked that day.
With relish -- I mean relics.
You're defending gold here? LOL How much did you buy at $1800?
Yes, i bought at $1800, but I also bought at $300, $400, $500 etc all the way up. What were you buying smart arse when I was buying gold at $300?
Nice one, and i bet you held all of those positions for atleast an hour.
Like Peter doing, i'm accumulating PM at various prices, from 300 something to 1600, nothing but physical only and have been retaining them for years. Not tempted with the current temporary gains knowing the papers are abundant and printing press are working nonstop immensely...
will dump "any unnecessary excess" of fiats to stack the PM at the good price :-) awaiting their suppressing going on... keep on stacking
after all what's the point for hanging around ZH for years if not really learn the essence? we don't spend time here for nothing like the trolls and/or pentagram paid personas!
http://www.rawstory.com/rs/2011/02/22/exclusive-militarys-persona-softwa...
http://www.guardian.co.uk/technology/2011/mar/17/us-spy-operation-social...http://www.telegraph.co.uk/news/8388603/US-military-creates-fake-online-...
Mish has a nice history chart here
Washington has one about the implosion
watching the FB amusement just for fun, another excellent example of naked rigging casino at the full play
+1 to PP
If you are still holding any Euros by now getting into gold and silver is the best way out. Converting to USD at these levels is not such a good move.
Spot on, spot on. That was one good comment.
The dollar jumped 71 cents...that is way too close to a 10 percent swing.
And market down 1.76.... That just seems weird...and gold got crushed...
Ha ha math man is back!
Good to see you again
"crushed"?
Seriously?
Your concept of "crushed" explains much.
Enough for me to keep walking.
I junked ya for your constant bitching about people who don't exist, but you like to fantasize about. Learn a new tune.
Have you ever heard of a woman named tmosley? Have you ever been to TF Metals?
MF
Hey man you were the one calling for sub $20 silver by summer...last spring.
back to your facile crap movie!
Might be math man or smailes
Is tmosley back in disguise? Good to see ya buddy!
You're a moron. Face facts dude.
When you're left with your paper treats, drop back to ZH so you can be ridiculed further.
Max Fischer is the name, and the sig line stands for the short form of no mind dip shit klingon from Uranus - MOTHER FUCKER.
U do sound like T
Gonna watch ur writing style for confirmation
Question, Max: why do you bother to sign your post when your fucking name is at the top of them?
He likes to watch himself yank off in the mirror, too while listening to James Taylor songs. And he makes the people working the drive through say "Thank you, Sir". Every time.
I bet he's under 5' 7". Little men often have these complex need/issue things.
Leave James Taylor out of it.
Leave wanking in the mirror out of it too.
C'mon, you know he uses a fun house mirror to make it look bigger than it is...
Yeah, and if can't pick my nose at red lights in my own car ... now I feel better.
Well, his moniker is Max Fischer, but I think "MF" is more of a title for him...
Probably because he is an autistic douchebag.
I think you mean Max is an autistic douchebaguette.
He's a little fond of chiffon in a wrist array.
ElvisDog
Well, that's because his Mommy wrote Maxie's name on his mittys and pinned them to his sleeves. That way little Maxie won't ferget his little name.
With the dollar cost average of my silver being under $9, I think I may just BTFD if it dips low enough. Back to school for you Max. So just when do you plan on going to graduate school Max? LMFAO! Two words for you max; counterparty risk.
Absent government money spewing, soon to be at lint YOY like the rest of the universe.
Oh, good one Max - would you mind elaborating on the analogy - what's the underlying physical commodity backing Facebook, and how does the decoupling between Facebook shareprice and that underlying physical commodity work?
Your identity moron.
Really? Thank's for stepping up to defend Max, so maybe you can clarify his 'analogy'. So in the case of silver, the typical argument is that the physical supply is limited but the paper supply is unlimited, and not correlated to the underlying physical, which means that, as long as everybody doesn't demand delivery of the physical, the price can be artificially supressed by selling paper quantities that exceed the total physical quantities available. Hence if you buy physical silver, eventually the paper gaming will stop (when all the physical supply is held in private stocks, and some paper buyer demands delivery of physical silver and discovers there is none) at which point the price of silver will rise to balance supply and demand.
So you're saying that 'my identity' is the physical commodity backing the shares of facebook, but I should buy facebook shares because that's like buying physical silver? But wait, that's actually more like buying PAPER silver, of which there's unlimited supply (similar to the unlimited supply of Facebook shares - because they can always issue more shares) so basically the whole analogy is bullshit, since 'silverbugs' advocate buying PHYSICAL silver, not PAPER silver, and you have just misdirected, rather than answering the actual question, by pointing out the obvious fact that the data collected by Facebook is of value to various government agencies, marketers, etc..., which has nothing to do with the original idiotic 'analogy'.
So how 'bout you explain to all of us how it is that Max's 'analogy' actually works, since you seem to support it?
We're ALL in hock to the banks! There's no way you can deny that. "Buying gold" is simply buying what the banks already have thousands of tons of. good luck with that! "Sauce for the goose" in my view. treasuries are your canary in the coal mine for gold. i have no idea what Max is talking about...my personal view is that MONEY should be backed by gold to prevent these debt debacles to begin with. in other words "you really don't have much consumer debt to begin with" with gold money so bailouts...if they can occur at all, are pretty minimal with the BANKS bailing out the government and NOT vice versa like we have now. what all these "bailouts" this time around are failing to do is to actually rescue anything. "solving the problem of debt with more debt" is how it's said...but in reality this is a HUGE deleveraging. MASSIVELY deflationary. What is needed are assets with dividends and growth potential. They're called equities...and they're a safe haven when governments themselves suddenly become incapable of paying their bills and careen towards insolvency...if not outright bankruptcy. Contagion is the real deal...sorry if i offended you but people need to speak out because the way money is being made these days is starting to resemble more of a criminal enterprise than anything a law abiding businessman would recognize.
Oh Al,
wasting time on a troll...I mean, after all....
Couldn't resist on this one.
do not confuse a silver lining to losing face
+1 Excellent Troll bait. MDB better take notes.
2/10
Comparing silver or gold with FB just shows how little one understands about either one.
What are they going to have for lunch...that is what is important.....Lunch baby.... a nice fancy lunch...then a few Photos...then home again
Once a bank run is in full swing, neither polticians nor bankers can stem the tide of outflows. They can ignore it officially and pretend it's not happening. If they acknowledge it and start talking about it, the whole enchilada unravels in a matter of days. There's not enough money to cover the outflows. Money in bank accounts is neither safe nor guaranteed. Only money under your mattress is safe and better yet, money that's converted to either gold or silver. WTF is that so difficult to grasp?
FIAT Humpty Dumpty FELL OFF A CLIFF ...
all time lows? the turd's been trading barely 2.5 days!
It's all so amazingly and perfectly ridiculous is it not?
Fantastic.
I unfriended trav. His sexual advances were getting desperate.
Oh Zuckerberg with his expensive wedding featuring Billy Joe of Green Day! How 90s!
Facebook has no choice but to bring in its pay for privacy model where those with cash and brains can defend themselves from ECHELON and the Stasi ways of the new Amerikkka...
http://silvervigilante.com
I thought Billy Joel died skiing into a tree or something. Wasn't he married to Cher and Mayor of San Francisco or something?
Oh, wait: that was Bono! I loved U2 in the early days.
I love every moment of this. Love to see the groomy dumb faces on my techie co-workers who thought they had Google 2.0 coming...
It's hard not to laugh at them.
The CFO at the (engineering company) place I work couldn't define "counterparty risk" for me.
I'd love to hear his definition of hypothecation and rehypothecation then.
Counterparty risk is akin to what happens when she says she's on birth control, but forgot to take her pill...
Confucius says man with girlfriend should always live at top of stairs, to hedge counterparty risk. All settlements are at bottom of stairs
Counterparty risk is when your wife says she's pregnant and she's 99% certain you're the father.
I love the taste of schadenfreude in the afternoon, it tastes like... victory.
I love the smell of beaver 24 / 7 / 365 . It tastes like - oyster honey.
@ kalasend, you're so cruel yet so true... i just can't help of ALOL
silver holding up well..
unusual indeed
does FB even make it to get a 52 week low? - Ned
Some serious debt deflation ahead. However, look on 'the brigth side;' food prices are still soaring.
Inflation in things you need, deflation in things you own is what's been said around these parts a few times...
no way. this is a straight up deflation. "be careful what you ask for you just might get it." in this case cascading defaults in Europe leading to a wave of bank failures landing either Spain, Italy, France or even all three "in the bankruptcy bin." the Germans are absolutely CRAZY not to allow for euro bonds. probably way too late anyways however. King Dollar is "da player" now. Europe is looking a lot like it did at the end of the World War II all of a sudden...."shocku" as the Japanese called it after their real estate bubble burst... "on a Continental Scale" this time. we'll see if it takes down the ENTIRETY of Wall Street with it...
Well, son, it might be time to BTFD in some " counter party risk adverse commodities ". Silver, gold, lead, copper, charcoal, saltpeter, sulphur, primers, alcohol, food, firewood, you know, real stuff.
Not quite... but you are more than welcome to stack em.
MillionDollarBonus = Dollar Cost Averaging ... Another EXCELLENT opportunity, with many and many more to come ... What a lucky guy to get this once-in-a-lifetime opportunity! :)
moved
Do you pretend your wife isn't fucking the kid who mows the lawn, too?
Max Fischer - Hermus Inconseqentia
repeated. And stop up arrowing yourself Max, it's unseemly. Like picking your nose at red lights.
"Like picking your nose at red lights."
But...but...it was only a scratch...no penetration...only a scratch.....
That's why Max never uses italics on the first line... Otherwise he'd never see a green arrow...
Where else is Maxi gonna get his protein ?
New sig line for Max - Homus derectum !
Hey, look!
This ship we're on is named "Titanic".
Ha, ha, ha; ain't that a riot?
Hey, I'll help you with that boat, OK?
With FB price dropping ever lower, one certain WB7 will never run out of material for another cartoon.
#FB IPO LOL
BTFFBD!
:)
Zuckerjew lost $7 billion lol.
the balding ginger kid is rich bitchez!
well, he did have a barmitzvah, after all.
Zuckerjew lost $7 billion lol.
He aint hurtin trust me, plus the talk on the WALL street,,,,,,,,,,,,,,,is NASDAQ is going to have to make good for its FU.
Meaning those orders that did or did not get placed they are eating the difference.
I think he is hurting. He designed his wife's wedding ring himself, and it has one small RUBY not even diamonds!... But if he's not hurting now he will be after the divorce.
I won't feel bad for him either. No one knew of his wedding until the day of the actual ceremony. Not even his friends and family. Meanwhile he makes billions by exploiting others' personal information.
ZUCK: yea so if you ever need info about anyone at harvard
ZUCK: just ask
ZUCK: i have over 4000 emails, pictures, addresses, sns
FRIEND: what!? how’d you manage that one?
ZUCK: people just submitted it
ZUCK: i don’t know why
ZUCK: they "trust me"
ZUCK: dumb fucks
Was the exchange between Zuck and his friend included in the Risk Factors section of the IPO prospectus?
Headfake book.
Tick,tock,tick,tock...time is running out...
"All time low?"
Yes, that is technically true...but it's between trading for what? Three days now?
That said, I am thoroughly enjoying this.
Somebody please 'splain how JPM is up a buck-fitty in the midst of all this?
Their losses compounding and they are up?
They must have impressed the shit out of people in those hearings this morning.
The insiders got confirmation that the Fed will back em up baby....all is good in fiat land...
I guess they did just hire a former regulator to help them duck and weave through this debacle..
I am stacking FB shares right up there with my physical tissue paper - I will be buying ice cream cones with 1-share certs as a replacement for the overvalued $USD by year end. FB will be the New Reserve Currency used by over 500,000,000 FB users as they report their latest bowel movements to the world.
LIKE.
...won't miss that term again as an action.
Faceplant goes below $30 tomorrow.
I will hold out for the 4 Buck Zuck. (No, I am not gonna buy any. Just wanted to say 4 buck zuck)
Sounds like something out of Dr. Seuss's collection of banned books...
Fuck-a-buck
I was thinkin' more like that cheap wine ya' get at Trader Joes. 'cept the wine ain't bad, and will improve over time.
in slewienomics:
4 buck zuck = 2 X (two buck chuck)
But, but, the FB fraud is all NASDAQ's fault according to CNBC...
yeah, about that ...
they have to paint that picture of course and involve SEC and FINRA which will do absolutely nothing.. other than making this casino look legit.
who cares that investors got fleeced? really? anybody cares? it's all part of the program and the IBs that bought the hype just got beat at their own game.
on the next occasion another IB is going to do the same.
great publicity though which makes me almost wonder if FB and the FAIL and the DAMAGE and FRAUD are all part of an agenda to SHUT DOWN the exchange for good
so much attention, so much hype and so many problems?
Facedouche is attracting HFT's like stink on shit.
Trading TNA was almost bearable.
Thanks zuckerpuch and Morgan Stupid for making my life easier!
Wow $30 BILLION DOLLARS traded hands. Fuck
Last Friday, the question was asked: "What will Facebook's close be on the 25th?"
I said $28. I may have hi-balled it!
You are still a commie
Heh. riiiight. A Commie who voted for Bob Barr in 2008.
And you think "Joe The Plumber" is an awesome persona, so there is that sticky wicket.
if we continue to lose 10% a day it will be more like $22 ... I'm going with that ...
Who would be dumb enough to be a bagholder longer than they absolutely have to?
Morgan Stanley, apparently.
If word of lawsuits and investigations/subpeonas pepper the news headlines, FB will become radioactive, with exponential decay and a half-life.
DELL -10.5%
What would a rational person buy...1 piece of silver at $30 or FB at $30?
... is this a trick question? ...
With spot below $28 and the GSR over 56:1, I'd say anyone aware/rational should now be in silver.
why wouldn't the rational person buy $30 worth of gold?
oh, that's right, the gold to silver ratio thing currently is a big number vs history. gotta play them odds.
like any rational person would.
:)
'the term structure bear-steepened'
Imagine that.
Does anyone have a really good WAV file of a submarine's hull creaking as it uncontrollably sinks lower? I'd like to listen to that for hours.
Nice.
Ask and ye shall receive.
Oh thanks Paul, you made my day!
http://www.youtube.com/watch?v=FkhBPF4yfkI
https://www.youtube.com/watch?v=H1LBTjqlPwE
In Pass the Pigs parlance, VIX looks like it just dropped a leaning jowler.
+1 for 'pass the pigs' reference. double entendre?
Exodus is right... Suckerberg
http://youtu.be/DPxLHb4m8fA
counting Mark's money is obscene; that company is over valued above 20 billion. So his fortune should be around 4 billion at most on this basis, five times less than at start value. Even at that value its too high. Nobody is worth that sort of money. We live in a valueless world. Usd strength is the expression of the valueless scale.
Yeah, but that's like saying King Charles I wasn't worth the sort of money he had.
Hmmm....
Wasn't Charles I the one that had a section of his neck surgically removed ?
Can't wait for options trading to begin on this one!
Why? By 05/29 the stock will so beaten down, it makes no difference. Worse yet, it could bring a squeeze.
Who is shorting stock naked on a massive scale? SEC and FINRA will find out and then things get interesting.
got a question. I'm mostly in PMs and not a big investor at all. Would like to get into some stocks perhaps and it would be only miners and then volatility/bear indexes. Right now I'm more interested in the latter. I know the VIXes have their long term problems from a ZH post awhile back, but what are some of the ways others would approach this thing and which of the VIXes like UVXY and short term ones have which pros/cons? I think things will be volatile and/or bearish between now and mid June, and would probably be long these indexes unless more stimulus, and I would be long thru summer with the debt ceiling and whatnot?
edit: even if things nominally go up from more cheap liquidity, still would look into keeping volatility indexes. Again, I'm not a day trader/have to pay decent commissions, so what are some strategies? And again, I'm all about sound money and phys PMs comprise most of what I have.
Thanks.
If you haven't been paying attention in Europe there is a real National Front movement thing going on again complete with concentration camps.
I'd go long german leather boot factories
"I'd go long german leather boot factories"
I went long on Greek donkey carts a long time ago :)
That's a most amusing perspective of the matter you have there, what, with internationalists whose conservative factions lie to the left even of the leftists of a century ago in complete control of Western European states peopled with societies that have been so thoroughly permeated with the nonsense of critical theory so as to have arrived at a total inversion of the traditional European values now associated with the 'far right', not to mention that the concentration camp was introduced into Europe by Bolsheviks and perfected by the Communists of Asia. That is, when they didn't simply kick you to death, since a human life was not worth a bullet to them after all.
I am far from a professional trader and I am a stacker as yourself but from what I have read and learned from reading on ZH comments:
If your betting on credit crunch 2.0 coming soon then TZA, SKF, VXX longs. From historical reference you can take a look at their valuations back in 2008.
That is of course if you think you can collect before the entire paper ponzi implodes.
Also the information contained within this comment is provided for informational purposes only and is not intended to substitute for obtaining professional financial advice. Please thoroughly research everything you read and seek professional representation before acting on any information you may have found in this comment.
Had to add that bit...I would hate for someone to loose money on my account. Someone more experienced should add to this...
Paul,
Thanks for the tips and no worries. I don't see how there can't be volatility over the next couple months and thru summer, although then again I don't know exactly how this stuff gets calculated into these ETFs. There is so much dry tinder out there, and I hear you on the 'musical chair' mindset of getting some PMs before this ponzi explodes.
Not implode, not explode.
The paper will burn in a firestorm inferno that will burn... nay.. cremate all who hold it. The light from such a systematic destruction will illuminate Gold and Silver and cause them to shine large.
The herd will stampede. You don't to be the one down below bent over gathering coins when you are about to be trampled.
How much did Zuckerberg make on the IPO? I can't find the number...but I know it's in the billions...right?
Well, I really never thought all THAT much of him...until now.
Before this, he was just part of a team that had the right idea at the right time. Nothing more...nothing less.
He's not Steve Jobs. He's not Bill Gates. He sure as hell isn't Albert Einstein.
...but now, at the very least, he'll never have to work another day in his life (which may have been the case five years ago)...
I'll give him credit for that...regardless of what happens to the company from here on out.
I feel the same way about people who win big at Lotto.