Goldman: "We Doubt The Current Market Optimism Can Be Sustained Over The Medium Term"

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Tue, 10/11/2011 - 10:41 | 1760873 mossme89
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Can it please just crash already, so we can get on with our lives?

Tue, 10/11/2011 - 10:42 | 1760879 Fips_OnTheSpot
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Tue, 10/11/2011 - 11:03 | 1760945 Libertarians fo...
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Praise Jesus!  Death and suffering to millions!  Praise Jesus!  I love the smell of anarchy in the morning!

As a libertarian, I dream of the day when hard-working, innocent families see their savings and retirement accounts wiped out.  Few things excite me more than the idea of total chaos and anarchy rolling through this country.  Death and misfortune to millions! Bring on the apocalypse!  Fuck everyone!   

In all honesty, this is probably one of the most despicable qualities of libertarians....  the desire to see society and millions of innocent people suffer for the sole purpose of giving merit to your ideology.  Fucking despicable!


Tue, 10/11/2011 - 11:09 | 1760969 Sancho Ponzi
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Yea, we need to maintain the Beltway status quo: Lawlessness and a total lack of morality. Let's do nothing while Mellon and others siphon billions from our retirement accounts. Let's do nothing while average household income drops 10%. Let's sit back and relax as the unemployed become unemployable. That's the ticket. I've got news for you; millions are suffering right now.

Tue, 10/11/2011 - 11:18 | 1760988 JPM Hater001
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As a fellow libertarian you are welcome to your radical VIEW and to live YOUR life by them.  As long as none of your actions imped my liberty then all is well.

Tue, 10/11/2011 - 11:25 | 1761004 fuu
fuu's picture

As opposed to just being a liar in support of your ideology.

Tue, 10/11/2011 - 11:34 | 1761036 Uncle Sam
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Within a few months after Fukushima collapsed, the US Government quit monitoring radiation coming over in the jetstream:

For an idea of where the radiation is going:

Just as worse, Hillary soon signed a trade agreement with Japan that 1. They don't need to do radiation testing on their food exports, and 2. We won't test for radiation on any and all Japanese food imports (drink green tea, anyone?):

The main reason for Obamacare is that the health insurance companies are collapsing (along with the life insurance companies).

When the medical support structure in the US collapses, how are we going to provide healthcare to the millions of people about to suffer from extreme radiation poisoning? And in great part due to the INTENTIONAL failure of our government to address the issue?

And remember, it kills the kids first. This will be Obama's and Hillary's legacy.

Suffering? You ain't seen nothing yet.




Tue, 10/11/2011 - 11:35 | 1761040 d00daa
d00daa's picture

go fuck youself you self-loathing piece of human filth.  yes, let's just keep the status quo so that these "hard-working, innocent families" that you so sickeningly use as a prop, can see their savings and retirement accounts wiped out BY RIDICULOUS MONEY PRINTING over the next two decades.  not only that, they'll get to see their real wages decline further for, yes you guessed it, another two decades, while prices for everything that they need continue to go up.

am i shocked that a statist freak show like yourself wants to keep the lower and middle classes of this country mired in trillions upon trillions of unpayable debt in perpituity so that you can continue to live your comfortable "status quo" existence?  hell no.  but you take it to a new low when you attempt to wrap your selfish world-view in some feigned compassion for "hard-working, innocent families."  i just threw up in my mouth a little, actually.

Tue, 10/11/2011 - 12:36 | 1761351 LooseLee
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We only desire to see those responsible for the condition we are in brought to justice whether that means losing all of their ill-gotten gains or hanging from a lamppost--or both! Justice for ALL!

Tue, 10/11/2011 - 10:58 | 1760933 DormRoom
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it will soon..


hegdge fund algos are pushing prices,  leverage ETF algos rebalance, pushing up prices, causing hedge fund algo to further push up prices.


One bad headline, and the SPY goes -5% in a blink of an eye, and the ETF rebalancing effects ripple throughout the market.



Tue, 10/11/2011 - 10:58 | 1760943 mossme89
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I think that might be key. The market is reacting to headlines and we haven't had any bad ones in like a week, or at least none that got any attention. The market is rallying on "hope" for a solution, same thing it's been doing for months, only now the situation is worse. This "hope" is a bubble waiting to be popped.

Tue, 10/11/2011 - 11:00 | 1760949 HelluvaEngineer
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Looks like the party just started. </crossfingers>

Tue, 10/11/2011 - 11:10 | 1760951 DormRoom
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The underlying stock is under pressure, but you have this increase flow, generating a synthetic asset appreciation-bubble.  Once the flow stops, prices converge to the underlying stock, that doesn't look healthy, given  macro conditions, and outsized risks.


liquidity can mask problems with fundamental valuation, but only for so long.  HFT/leverage ETFs are liquidity sources that help distort prices.

Tue, 10/11/2011 - 10:42 | 1760877 AngryGerman
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"We Doubt The Current Market Optimism Can Be Sustained Over The Medium Term" ... unless we get QE3!!!
Tue, 10/11/2011 - 11:03 | 1760957 Sancho Ponzi
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From Reuters:

Goldman Sachs Group Inc (GS.N) will likely record a loss in the third quarter

Tue, 10/11/2011 - 10:43 | 1760880 fuu
fuu's picture

We are going to need more dihopium crystals.

Tue, 10/11/2011 - 10:43 | 1760882 Smithovsky
Smithovsky's picture

Sounds like someone is short an MS call or two.

Tue, 10/11/2011 - 10:44 | 1760883 TradingJoe
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Now, they have a moment of "honesty"?!?! GS?!?! Hahahahaha.......

Tue, 10/11/2011 - 10:56 | 1760938 kito
kito's picture

quite doubtful. go long on equities in the medium term. thats what it means. never believe anything written or said by the great squid. always do the opposite. zh should have a warning before posting any goldman articles, "caveat emptor"

Tue, 10/11/2011 - 10:44 | 1760884 AladdinSaneGirl
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Are some companies just gonna go completely bust? Then the trick is to find the (small) ones strong enough to get thru, as history shows they go on to massive sp benefit.

Tue, 10/11/2011 - 10:45 | 1760891 AngryGerman
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I tell you which ones:

Weapons manufacturers: Bc the rich will have to defend themselves

Booze companies: Bc the poor need to have something


and finally rope companies: don't ask



Tue, 10/11/2011 - 10:44 | 1760886 molecool
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Time to go long...

Tue, 10/11/2011 - 11:18 | 1760991 junkyardjack
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Exactly, doesn't this mean that Goldman is actually long the market right now? Bullish

Tue, 10/11/2011 - 10:45 | 1760889 buzzsaw99
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the squid is working their reverse psychology mojo again bitchez.

Tue, 10/11/2011 - 12:11 | 1761219 Lost My Shorts
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Ya, doesn't this just mean GS is net short, and is trying to talk the market down while they cover?

Tue, 10/11/2011 - 10:46 | 1760892 mossme89
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Sometimes I wonder if the market is gearing up for the perfect storm. Like before a giant wave hits, the water is sucked in, maybe the market is spiking to the upside (sucking in) before it crashes downward (giant wave).


Tue, 10/11/2011 - 10:50 | 1760910 SheepDog-One
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You got it. Wash rinse repeat. 

All the while the morons are set up like Charlie Brown on a football really believe THIS time its the BIG rally! 


Tue, 10/11/2011 - 10:54 | 1760930 mossme89
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It's ridicioulus. I'm short the market and hanging on for dear life. Luckily I'm short only using my own cash, so I'm not suspeptible to margin calls.

Be very weary about this rally. There's something very fishy about it. Look at the way it started, by a melt-up into the close, and then when it looked like it might fizzle out yesterday, another melt-up into the close. Stinks like manipulation to me. My guess is that some big names have some inside info and want to sell at a higher price, before the market tanks.

Tue, 10/11/2011 - 11:20 | 1760998 DCFusor
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I'm in the same condition and seeing the same stuff.  I was kinda thinking the trading range cycle would repeat one more time and that now (well, yesterday and the day before) were time to get short for the next half-cycle down.  Oops.  I'll give it a day more, none of the up legs have lasted any longer than that.  In fact, the more nervous people get, the quicker the swings seem to be - longer slower cycles seem to happen when people are calmer (to the extent people influence this at all anymore).

Could it be people (traders) are just calm due to fatigue?  I know I'm getting tired.

Tue, 10/11/2011 - 11:20 | 1760999 IrritableBowels
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In the same boat, friend. It's frightening to say the least. Cheers.

Tue, 10/11/2011 - 11:19 | 1760997 vote_libertaria...
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Read Michael Lewis's book The Big Short.  He interviewed hedge fund managers after the last crash.  They said they were completely lost because bad news was met with huge buying.  They said later they realized it was other big hedge getting margin calls and getting ripped out of positions, doubling down with highly leveraged money trying to reverse losses, etc...


Sounds like de ju vue all over again.

Tue, 10/11/2011 - 10:46 | 1760897 stormsailor
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looks like a melt straight up all day market to me.  i'm staying out of this insanity

Tue, 10/11/2011 - 10:47 | 1760900 SheepDog-One
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Who has 'market optimism' besides GS and the clowns at CNBS?

Tue, 10/11/2011 - 10:47 | 1760902 baby_BLYTHE
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Marc Faber on CNBC Squawk Box 10/11/11

Suffocating global debt problems and overreaching intervention programs will be good for the U.S. dollar but bad for asset prices otherwise, investment guru Marc Faber said.

Faber suggested that Occupy Wall Street protesters "go to Washington and occupy the Federal Reserve. (agrees with Alex Jones)

Tue, 10/11/2011 - 10:56 | 1760936 Josh Randall
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Jim Rickards view that te US never really left the Gold standard is a pretty accurate statement. The US's Gold may not be accounted for in public for a reason - as it would accurately depict the true price of Gold and Silver (given it's historic 15 or 10:1 ratio).

thus the view that the Dollar is as safe as Gold to some people - inspite of the Bernank's efforts

Tue, 10/11/2011 - 10:47 | 1760903 RobotTrader
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Two weeks of MS shorts now underwater and sucking wind.

Tue, 10/11/2011 - 10:54 | 1760928 rocker
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Maybe you should buy KBH and LEN.  They are beiing squeezed too.

That is not investing. It will go back down. Hopefulling with any of your longs too.

Tue, 10/11/2011 - 11:03 | 1760958 rocker
rocker's picture

Hope you bought Goldman's inciteful view on NFLX. Goldman says they turned around quickly.

Who's on the 52 Week Low list today.

Don't Buy Stocks.  The HFTs own you if you do. 

Tue, 10/11/2011 - 11:05 | 1760960 somethingisrotten
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What a rookie; geting excited about a 4 pt rally of a corpse that has been cut in half since July.

Tue, 10/11/2011 - 10:49 | 1760906 Manthong
Manthong's picture

"but in the long, or even medium-term, do nothing to address the fundamental math fail"

Yeah, but since the tail wags the dog and currency is in unlimited supply to the dog waggers, just how long can the dog be wagged by the tail?

Tue, 10/11/2011 - 10:54 | 1760929 SheepDog-One
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Now theyre screwed, unlimited free imaginary Monopoly money has already been priced in.

Tue, 10/11/2011 - 11:59 | 1761136 slewie the pi-rat
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unlimited not yet needed, due to "pricing powers" in "markets"(?)

what is happening is that as retail & traders high-tails it outa "equities", da boyz just re-fill the inkwell.  1,000 points on the Dow = X Trillion$ in "wealth", but doesn't cost X $ Tril$ to "produce" in the "markets".  when retail & traders decide to bail, again, da boyz will out-sell them, too! 

if you have been buying "inexpensive puts" for the last coupla daze, you are well-poitioned, here for a reversal.  but ya hafta plug yer ears to the siren song of "the bottom is in" which will lead to a cramer-like condition of dollar dementia while raving about a charitible trust you "own" b/c too much wealth is bad 4u, and can lead to "king midas syndrome" which is the NWO handmaiden of "stockholm syndrome"

the Monopoly money is neither free nor imaginary, imo

the "capital wealth" which is determined by "markets" (by "marking" but only when convenient; otherwize by even more devious bullshit) may say one thing in "paper" and another thing in "ounces" and be quite the "house of cards" however

TPTB's needs to borrow are hugely, ginormously, magnifico,000,000,000,000.   and, as "counterparties" to worthless debt giggle nervously from high up in glass gaggle-housing, everybody must get stoned

Tue, 10/11/2011 - 13:56 | 1761737 Manthong
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"if you have been buying "inexpensive puts" for the last coupla daze, you are well-poitioned, here for a reversal."

Geez, I hope you are right.. I'm up to my hip strap in them.. testing the limits of the addage: "the market can stay irrational longer than you can stay solvent."

Tue, 10/11/2011 - 10:49 | 1760907 Ronaldo
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Dow goes Green.  I quit.

Tue, 10/11/2011 - 10:55 | 1760934 rocker
rocker's picture

Go Cash.  Don't Buy Stocks. Shorts included. Why feed the Squid.

Tue, 10/11/2011 - 12:27 | 1761297 Ronaldo
Ronaldo's picture

Thanks, I have been in cash or cash equivalents for quite a few months.  I am not the "Shorting" type as I just don't feel I have the experience yet.  I have been waiting for the proper moment to get back in and it just seems to drag out forever.  I can't understand how this scheme keep chugging along. 

Patiance is something I have, I am just astounded by how this is transacting.


Tue, 10/11/2011 - 11:47 | 1761088 junkyardjack
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And we're green

Tue, 10/11/2011 - 10:51 | 1760919 SheepDog-One
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People are now so freaked out they look at any market move and it either ruins or makes their entire day? Wow pathetic. Just take your money out of this irrelevant market scam and buy things you need, youll feel MUCH better!

Tue, 10/11/2011 - 10:57 | 1760939 monopoly
monopoly's picture

But you can get wiped out waiting for the truth and reality to set in. Shorting this market more than tough.

Tue, 10/11/2011 - 11:24 | 1761003 junkyardjack
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I'm waiting for it to break and then I'll short.  This melt up has been crazy, I'm glad I ditched my shorts on day 2 and now I'm just watching.  They've went up like 20% since I dumped out.  This is epic, makes me feel like something is going to be announced that will send the market shooting up.  The only positive is that volume has been so low but a squeeze can kill you.

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