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Goldman Goes Short The US Consumer
Because the proper trade is to respond only after JCP blew up proving that the US consumer is finished, here is Goldman finally joining the bandwagon of shorting the terminally tapped out all buying, all eating, all charging Joe Sixpack.
Moments ago from Goldman:
Recommending short positions in the US Consumer Discretionary sector
We are recommending a short position in the US Consumer Discretionary sector, with a target of a -6% move and a stop on a +3% move, following today's disappointing Philly Fed reading, which fell well short of expectations and suggests that activity may be slowing further in May. Our Advanced reading of the GLI showed that monthly growth, though still (only just) positive, continues to slip. This brings the GLI ever closer to the "Contraction" phase of the business cycle with its very clear negative implications for equity markets generally. We are expressing our negative view through the Consumer Discretionary sector because (1) it is a highly cyclical sector and (2) has been fairly robust relative to the overall market and other cyclical sectors over the last few months. In the current context, particularly with European worries back in focus and little visible in the near-term to ameliorate them, we are implicitly also taking a directional view on equity markets more generally.
We are aware that we may well be proven late to this trade. First, Consumer Discretionary stocks have sold off rather sharply in May, though they have not unwound their previous outperformance relative to the overall market and still look to be a leading cyclical sector. Second, it may turn out that the period of most dramatic slowing in the US data has already passed and has already been priced by the market. True, Philly Fed was a rather large disappointment, however other elements of the US data set seem more stable. So it may take further data disappointments to push discretionary stocks lower from here. As such, we will use our stop and upcoming data to manage this position.
Needless to say, it may be time to finally go long US consumers ahead of THE NEW QE and the USSA paradropping money to Joe Sixpack as per Willem Buiter's recent reco.
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Gold-Silver backed Amero about to come online.
Remember when shorting financials was "banned"? Wouldn't want to capitalize on someone's misfortune, hey Goldman? Fucking selfish hypocrits.
they'd short their own dicks for money!
I thought Jamie Dimon's nickname was "needle-dick the bug fucker"?
Too late!
I remember it, and it was a good thing ... because what they actually did was to increase the penalties for a failure to deliver.
In the electronic age there is no excuse to ever let a sale go through not backed by the stock. We are not sending stock certificates to the recipient by pony express any more ... naked short selling is just an abuse of an antiquated delivery timeline, it offers perverse incentives aplenty and no benefit.
Failure to delivers shouldn't just be penalized, they should be impossible by design.
There are plenty of other ways to short a stock ... sell a borrowed stock, sell call options, buy put options ... just don't sell phantom stock.
I was wondering when the Amero would be formally introduced, the Denver Mint has been printing coins for almost 5 years now. There are WAY to many different sources with different pictures of this coin for it to be a myth, even a simple goog image search makes this more fact than fiction. My only question is will it be backed by some sort of PM or basket so to speak of PMs.
Prepare to be shocked. Seems like Venezuela with it's huge gold hoard will be a major pivot in the Amero project. Amero will be the stake driven through the FED's non-beating heart.
Will Greece will dump the euro and adopt the Amero? That would also kill the ECB....and set the sheeple of europe free from their chains.
Coins are minted not printed.
uR in rare form, er... i mean, unhh,... mint condition, today, fuu...
Sadly I have to check your profile to make sure you're real.
Is it all still locked down?
not sure i understand the Q, fuu
my account hasn't been locked, to me. ever, unless it was when i wasn't looking
you know what a spook show tyler's parliament of zH birds can seem to be at times, but least i'm stayin outa trouble!
It may have been one of the fake pi-rats then that was commenting a few times that everything was locked down, still locked down, etc.
Hahaha!
you've never missed yet, that i've seen, shooter
yeah, i sad that: about the "markets"; tyler was expressing it in theVIX analyses and the dailies; the whole site has been expressing it; so i took that great line from theHotelNH b/c the markets are have been, perhaps, under the tail-wag-dog bankster-dreivatives influences and the banksters now control more shit more ways fromSunday than anyone thought possible in '08, or even '0-11, imo; i can't say it any more clearly that this what the banksters and politicians want b/c they now have no more choices; they are played out; their pixie dust didn't work quite the way they had hoped after theFlood of criminality that has swept the world of "finance"; and the don't want to kill the goose that is allowing them to leverage everybody's golden eggs, now, do they?
just financing the communism and nannies is beyond belief here; the FED hasta finance theTreasury; and finance theTreasury; and finance the Treasu..........
so, take care of yourselves, here, BiCheZ! anyone sees more than trying to be the last horse to die at this point, please pinch yourself and see if it helps, ok? as tyler keeps hammering home, "they" can keep pretending to know how to do this only so long; look at theMorgue and jamie, one of the bestest banksters we've ever seen! who knows what the hell this guy is REALly up to at this point? if people knew what he was up to, he wouldn't be able to pull it off; this is the true essence of banktering and its corrupt derivative, banksterism. well, that + 3 aircraft carriers, technically...
by my count tyler&sac have disabled clones 1&2, probably for "cause" ( w/ clonie#2 who knew a shitload about geophysics, and -thermal, btw, prob being crucifeid for links to his XXX-rated photo-shopped celebrity galleries which i thought were fab); some of the academic links were fromUCsantaCruz so i went with the bananaSlug thing just as he seemed to be drinking heavily over telling his boss to fuk0ff and quitting his job as a greeter
so he coulda been related to me!
then he puts up thiese pix about some of our fave male corpo-fascist mofo shitheads with erect penii (penuses?) sticking in their pie holes and i think lizzy may have been doing the pms thing and decided to castrate him, right there
anyhow, #3 (i think the one you complimented; who tf could tell at this point?) is a spookbot chick from bilary b/c i have REALly pissed her off (she hasn't returned ONE phone call since i started blogging here)
and the new one, #4, is from theDOD for calling outPanetta on the shit he spewed for bibi's last visit, my work on the propwash from theMIC, and calling out the fuking council0nForeignRelations the last 1/2-dozen times? and possibly some residual feelings about our differences about libya and the moQ? or the stuff i have written about iran? or maybe even syria? he may be doing #3; she does have those sexy ears! him, too!
as i have stated, i like to make up shit that makes more sense than their propaganda shit, and i find it quite rewarding, personally, to be attracting this much "attention" for doing something so fun and easy
but you know how real it can get, too
maybe that first one was from the fuk_u work but the nukuler industry took it down after japan decided to follow my advice (i give the same advice here in CAm or in NY) to shut down nukuler b/c it is N0T safe, never has been, and never will be
oh! and we've all been lied to
any question?
TheEnd
Somehow, someday, you and I are going to close down some bar somewhere.
Not if ben has anything to do with it
PM-backed currency? Yeah right!
Vee don't tink vee are finisht mit dis little game ve are playink yet... No, no definitely not!
If anything the Amero will be backed by a new family of global currency derivatives. That way all of the world's countries are conjoined in yet another way so we strengthen our global economic suicide pact.
Ooops, I've said too much...
So how long before the " rebate" vote buying checks start hitting the mail? Goldman muppets might want to rethink that trade.
short muppets
This signals that JPM is done unwinding the "Over Hedged" CDS position
Super Bullish
Long live $1.29 towels!
Muppet marching orders.
So now is a good time to go buy a bunch of crap at Target and crash Goldman?
Does this mean short my Aunt Betsy and Uncle Calvin? Oh Lordy!
Naked?
Are you from the south?
For the fade, cue Robo with his LONG discretionary consumer stock stable.
Wont be a QE till we get to 1000.
so, next Friday, right?
lol
This is like watching swamp people...
Oh crap, time to take off my short positions on LULU. thanks goldman for telling me the opposite to do.
profiting off misery is what they do best...
Create the crisis, then just so happen to have a solution.
This is so bullish it hurts
G-Sachs continues to Shart on the US consumer...not surprising.
Bullishhhhhhhhhhhhhhhhhhhhhhhhhhhhhhh
Jesus, i didn't think there was anything left in retail to short. Time to get long for the pop.
Muppets respond, metals ticking down. What a fucking farce.
people don't need to buy too much til theFall...
and they're saving for the europeon vacation at these rates
so: get some old clothes and a back-pack and go enjoy the EU
better hurry, BiCheZ!
I dunno. Seems like - why are they even going public with this information???
Fancy that! People getting kicked off the unemployment rolls still with no real job in sight reduces the amount of shit people are buying.
it's tradition
Maybe if the prices are just jacked up some more, everyone can pretend that sales are increasing and all is well. Better be sure to reduce packaging size rather than actual prices though.... don't want to give obammy CPI problems during an election year!
slewienomics indicates that:
"nominal" GDP + MOPE = Prez0 + 4
Finally a solid reason to get long on some of these beat down sectors. Thanks GS!
From the Wall Street Crash of 1929 to the Global Financial Crisis of 2007
It all started with the big crisis of 1929. The American economy reached a deadlock because of its social "pathogenesis"; a deadlock that led it to economic crisis in a different - faster- pace than the rest of the industrial forces of that time. Important decisions had to be made - mostly social - and the Whites didn't like that, especially the Whites' rulers, the Anglo-Saxons. The USA society had to either be homogenized and "forget" about racism against black people or find itself in a permanent deadlock that would threaten it with social uprising. If they didn't equate the black working people with their white colleagues so that there wouldn’t be an issue with the salaries that threatened the national currency, they couldn't avoid reactions and all that goes with it.
The problem which began as social but was turning into economic was simple. As long as the economy functioned adequately and the Blacks worked and asserted what they deserved for their work, the white employers had to "fund" the white working force with extra money because of their skin color. To avoid complaints from a white worker who received the same salary with his black colleague, the employers had no choice but to give them more money. The demands of the Blacks were used as an excuse by the Whites to demand more and everything ended up in the same pocket, since they were under the same employ. The problem that arose from this "strange" tactic was that the increased takings of the "superior" White employers were seeking outlet in investments and that threatened the capital. Having higher salaries, they bought more houses; they bought stocks and so on.
www.eamb-ydrohoos.blogspot.com/2010/02/ten-plagues-of-pharaoh.html
Authored by Panagiotis Traianou
We're due for a short term rally, but GS is right that there's more space to fall...has to be for more QE.
A short term rally to celebrate European Bank runs and riots?
That would be Jose...not Joe six-pack.
Caution: GS could be a contrarian indicator on a reverse psychology mission. Perhaps they'll use the release to really, 'short-the-consumer',... thus turning the screws and knobs, on the 'Benji-Digi Press' rolling out Q3 in Jul/Aug/2012 prematurely?
jmo
Based on one Philly Fed reading? Remember last year when data fell off a cliff for 3 months and no one cared? I guess now people care, but there is a lot of noise in the data, it hasn't been that terrible.
Goldman's probably just in time to get whipsawed as soon as the market stabilizes.
well that is raterh bad advice, esp after the last drop, bet the prop desk has been on this for a while, we hit my target entry point today for a bounceback as well. I expect a further drop, but I've taken some profits, and will put more in after a bounce, more neutral now
we are way oversold on an hourly basis
About time, they've been giving it up the ass to the US consumer for years. Add insult to injury and sell them short.
For Goldman to be right, the banks would have to cut off lending (the only thing keeping our consumer driven economy from completely falling apart). Maybe the banks figured out that lending to the same deadbeats who bought too much house back when W was in office (mentioned President just for time frame references) will have the same end results..defaults.