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Very Bullish.
http://188.126.66.67/news/epic-plunge-63378-6th-largest-drop-dow-jones-history#comment-1539472
All men to the PPT pumps!
...and now, the Nasdaq-100 is green.
cool graphics, looks nice on gaypad
PMs are hammered again. :(
Huh? I see gold @ 1,792, up $27.
Silver was down to $40.09 as I saw and then bounced back but still under $41 now.
Not much of a hammering.
Nice bounce in the indexes though. They might even get green.
edit: Nasdaq up almost a percent now. Quite a reversal.
Bernanke just kicked the can to the Fed's Sept 20th meeting. He is basically saying "Make me write (more) bad checks".
Sounds like he needs more market flush. We've got 3 weeks to twist his arm folks.
Sell, sell, sell, sell.
Maybe a repeat of Sep 08. This time the sacrifice will be BAC and then QE3 will be out in full force although I don't think TPTB will let BAC go.
Greece has to default before any more QE. Its a game of Chicken with the EZ right now. They'll prop up Bank of America as long as they can so we don't take the blame for the next worldwide financial fuck-up.
Sell sell sell is a good idea either way. It may encourage a bit of QE3, which will give a very temporary lift to fiat denominated equities, and then whoosh again. Gold and water rights look best in this light.
Brother Cog,
The worst part about all of this is that for the next three weeks, we get to hear the criminal syndicate tell us that we need QE3, a trillion worth, all while they also trying to tell the market right now that the absence of the announcement today was "already priced in", and all the other various and endless spin...on and on...and on.
Something tells me that September would be a great time to take a vacation. Fly fishing in South Dakota anyone?
Brother Cdad,
How about Montana? A river runs through it.
http://en.wikipedia.org/wiki/A_River_Runs_Through_It_(film)
Excellent movie, brother Cog. Love that one.
But I have an affinity for the Black Hills.
The fact that you love a place, that you have a reverence for it, speaks so much louder than what you actually love. I have found that possessing a love for something is a wonderfully stabilizing force. It gives us direction and purpose.
I read an article yesterday about how one of the main reasons Bernanke will not do QE3 is because the resulting increase in food and energy prices in the developing (and developed too?) world would most likely spark revolutions across the globe. It would be Arab Spring squared. I assume that Bernanke is smart and knows the consequences of QE3, so to have him know what would happen and have him do it anyway would indicate that he is insane. I don't think Bernanke is insane.
Well, I certainly think there is some truth behind that.
But if you read the speech, there's an increasing admission that monetary policy can only do so much to stimulate growth. While there is no way that Bernanke will admit in public that QE 2.0 was a failure, the fact of the matter is the level of economic activity is not meeting his-- or the Board of Governors expectations.
The above is an important admission, in that a few months ago Bernanke was stating that slowing economic activity was a function of temporary factors (of course we all knew better), and that economic growth would re-accelerate in the latter half of 2011.
That clearly isn't happening. The increasingly sober reality is that the Fed can provide conditions to promote growth-- but can only do so indirectly through the banking system. In essence, if the Fed provides the means for banks to increase lending-- and the banks refuse to lend-- it damn diffcult for it to run through the rest of the economy. Well... duh.
Now, the Fed CAN directly affect asset prices to a certainly extent (which QE 2.0 was effective in that regard)-- but Bernanke is slowly figuring out that whatever we saw in paper asset grwoth IS NOT translating to economic growth. Or more importantly, growth in employment-- which was touched on pretty heavily in today's speech.
This doesn't mean the helicopter isn't ready. Bernanke will employ a "do whatever it takes" approach to dealing with the next finanical crisis-- which really may not be too far away in the future. So don't put away those QE 3 hankies just yet.
But the major problems with long-term unemployment cannot be solved through the monetary policy alone-- and that is a big admission. As it stands, the Fed is providing as much stimulus as it possibly can-- without triggering those nasty consequences of global commodity inflation. The reality is they cannot do a QE 3 more unless they wont those consequences-- and QE 3 still won't address the long term issues of high unemployment and unbalanced transfer payments.
The ball is now in Congress-- and to a certain extent, the Obama administration.
As well it should be.
No, don't sell. Don't have anything to sell. Don't be involved in this market in the slightest, other than with whichever your preferred PM provider happens to be.
If you're a regular at ZH, and still trading, you are complete piece of shit, waste of space, useless breather stealing oxygen from your betters. In a market completely dominated by machines, you are the last humans left providing legitimacy to the most epic fraud in all of human history.
price stability
The ass clowns on cnbs seem a little dour right about now.
The traders and algos aren't the only twisted addicts on Wall Street. CNBC was looking for some QE 3 "stimulus" just like the others.
Ben is the crack Nazi. "No crack for you."
Independent algos ? It's all Skynet now. The programming is indeed quite pure:
http://www.goingfaster.com/term2029/skynet1.gif
No fiat crack for you. You come back 3 weeks.
Three weeks ? The ^GSPC may be down 10% by then ! The markets want their monetary Maypo !
http://youtu.be/GXnSe7MYPGM
What a surprise!
Ok so when do the markets start to rally to front run Sept 20th QE?
Right now. Market on Hopium for Change
Next...?
Gold down more than equity so far since the speech.
Neener-neener
its a 5 days chart
As of 11:13 EST, Gold is up 1.3%, SPX is up .04%.
Maybe the Bernank has had a change in religion and realizes that more printing is not the best course of action...and will now leave the "market" to it's own devices for true prices discovery?
hahahaha.....More likely is that Bernank just needs people to beg for more printing is all....another 5-10% drop in equties oughta do it?
Meh.......
Go long!
Tyler,
To save us all time, can't you just set-up an investment fund and we'll all pay some money in and you can make us all rich? (Obviously take a nice cut for your efforts).
Well?
The ZeroHedge Fund?
I like.
I would imagine we'd either get really rich, or go completely broke. I mean.. no hedging, just full speed ahead.
Who needs hedging when you know what shit to avoid.
no hedge for you!
Let's twist it a bit, put up a goof portfolio and just track it. It could be terribly funny!
For CNBC's million dollar challenge, I'm putting everything into U.S. and European banks, the worse banks the better. It's the anti-portfolio.
Shortfolio
*edit* Hah! I googled it, and I might have just coined a new finance term (it exists, but not in concert with finance) :D
Don't worry, GS will steal it from you and then sue you for infringing thier copyright.
expected sell off muted, so far! Will most likely accelerate into afternoon, remember the circuit breakers, after 2:30 it can be free fall! Or, pure desperation ramp up to sell down even better from up higher! My taste is a precipitated sell off as in every day a few hunders points on the Dow and maybe 20-30 on the S&P until next friday then get long boys!
And here comes gold back to test $1800.
Roubini says no worries and that gold is somehow the most leveraged bubble of all time. ES leverage bubbles are cool and the gang however according to him.
ES is going to get ramped positive.
Ohhhh, Kayla!!!
NASDAQ is positive and DOW is negative 1.0%. The algos are so broken right now.
Dry Powder - Without elimination of risk by full Fed backing and guarantees of QE3 I can't leverage 40x. Hardly seems worthwhile to get up in the morning if I have to invest at 10x. I might actually have to do research and stuff. I could wait to see what the smart guys are doing...
/ES about to go positive. 23 point bounce off bottom so far.
i guess it wasn't the shrimp that was giving me that sick feeling.
ES seconds from positive territory. WTF are the algos doing?
kneejerk reaction over.
yes..it's going from the kneejerk to the circle jerk.
Did anyone tell the robots that there will be no market on Monday...Tuesday...Wednesday...?
Wondering what the algorithm is for that.
Is your suggestion that Irene will keep markets closed? You're in MN, I'm in CA, we need the ZH eyes in Carolinas, DC, NJ, NY to keep us informed with REAL meterologic info vs. MSM hype.
Let's just say I get around.
It's all about the power outages. Not hype, real. Could be short or long duration event.
And reverse! (Nice $2 off TNA)
complete reversal. The Nasdaq went vertical. What the hell just happened???
Was there a hidden message in Bernank's speech that you needed a secret decoder ring to figure out?
If Lulu, Pricleine, and the other momos just shot up then the PPT algo buy just kicked in.
Scary! It will come down again.
look at NASDAQ shoot up? INSANE! Please someone explain that!
Someone/thing bought some stuff.
There is no one left in the markets except traders. Fast moves in and out, all based on momentum and who is the first to blink. No investors in this range are getting in or out. New lows more out, next level back up, fresh money will re-enter.
Did anyone just note the German DAX plunge from about -2% to -3% just a couple minutes ago?
And it just ramped from -3 to -1.5 in minutes.
Kneejerk reaction back on, bitchez?
Just as I suspected LULU, CMG, Priceline, Linked, Netflix all skyrocketed at 10:08. Frickin Linked jumped over $3.
The S& was heading right for the 1125 support level and the automated prevent that at all cost buy kicked in.
It isn't even hidden anymore. Still don't believe the Fed buys stocks?
The 9000 series has a perfect operational record.
"Open the door please, Hal."
I'm sorry Antipodeus, I'm afraid I can't do that
I'm out. Might be a bear trap.
Anyone else notice the endless shills on CNBC, recently?
The same "experts" who've been trumpeting a "buying opportunity" in bank stocks for several weeks. (as they freefall) Are now turning their recomendations to... the insurance stocks ? (as a hurricane comes up the East coast.)
Caviat emptor.
Gold up $57?
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