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Listen Up Muppets: Goldman Wants You To Sell TYM2 - Is The Bond Sell Off Over?

Tyler Durden's picture


Dear muppets: Goldman wants you to short TYM2 (reminder: a key axis? check; elephant hunting? check; three letter acronym? check). Translation: every bond you sell, Goldman buys.

Last night’s FOMC statement ‘marked-to-market’ the committee’s assessment of US economic conditions, which continue to gradually improve. Attention now turns to the minutes of yesterday’s policy meeting, which may reveal whether easing options were contemplated after the expiration of ‘Operation Twist’. US Treasuries sold off yesterday, and are now breaking above the yield range in place for many weeks. The 10-year US-Germany differential, now at 40bp, is at the widest level since last November. A wider spread is in line with our valuation metrics. But the level of intermediate yields remains about 25-50bp too low on both sides of the Atlantic. Using 10-year bond futures (TYM2), we would recommend short at 129-17 for a target of 126-00 and tight stops on a close above 131-16.


Financial economists make a distinction between ‘uncertainty’ and ‘ambiguity’. Loosely speaking, uncertainty has to do with what we colloquially call ‘known unknowns’ and mostly pertains to the shape (or ‘moments’) of a given distribution of possible future outcomes. How ongoing tensions related to oil prices may affect future consumption and inflation provides an example: we can resort to historical precedents and attempt an answer. By contrast, ambiguity evokes the idea of ‘unknown unknowns’, or risks that are not susceptible to ex ante quantification. The current Euro area banking and sovereign crisis has raised many uncertainties, but is predominantly a story of ambiguities. This distinction, which may appear academic, has actually important implications for asset pricing. Below we illustrate this point in relation to Italian and Spanish sovereign spreads to Germany.


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Wed, 03/14/2012 - 17:10 | Link to Comment TruthInSunshine
TruthInSunshine's picture

No, no, no - to get the really shitty advice that Goldman intentionally excels in (and fades you on), you have to pay as a proper Muppet for their proprietary reports, damnit!

Wed, 03/14/2012 - 17:38 | Link to Comment redpill
redpill's picture

Is this advice from the 89% or the 11%?


Wed, 03/14/2012 - 17:43 | Link to Comment TruthInSunshine
TruthInSunshine's picture

Ehhh...I'm as flummoxed as Greasy Fabrice.

I'll get back to you on that... <looking around for Dan Sparks>

Wed, 03/14/2012 - 18:08 | Link to Comment ZackLo
ZackLo's picture

Main Street to sesame street bitchez!

If only the "regulators " would actually bring one of these fuckers to trial,

Nope only "settlements" now, because who is going to "Make" marks, I mean "Markets" in Government dogshit world round?

Wed, 03/14/2012 - 18:21 | Link to Comment redpill
redpill's picture

OT: Nothing is worse than reloading the page and having the hot Sugar Daddy dating chick replaced with T. Boone Pickens' ugly mug

Wed, 03/14/2012 - 18:29 | Link to Comment Schmuck Raker
Schmuck Raker's picture

It's not the page reload, it's the 'Reds' kicking in.


Wed, 03/14/2012 - 20:09 | Link to Comment thatthingcanfly
thatthingcanfly's picture

So you're saying I should short Sugar Daddy Dating?

Wed, 03/14/2012 - 17:11 | Link to Comment SnobGobbler
SnobGobbler's picture

some one has to buy that worthless shit, may as well be the squid since china won't.

Wed, 03/14/2012 - 17:12 | Link to Comment transaccountin
transaccountin's picture

Just picked up some /ZN 10 year treasury note contracts. Roll the dice squid!

Wed, 03/14/2012 - 17:13 | Link to Comment non_anon
non_anon's picture

STFU Muppets and kneel to your masters doing god's work!

Wed, 03/14/2012 - 17:13 | Link to Comment mayhem_korner
mayhem_korner's picture

Listen Up Muppets



It's time to put on make-up...



Wed, 03/14/2012 - 17:52 | Link to Comment Wakanda
Wakanda's picture

Yo muppets!

It ain't easy bein' Gree(n)ce.

Wed, 03/14/2012 - 17:16 | Link to Comment HD
HD's picture

It's time to play the music It's time to light the lights t's time to meet the Muppets on the Muppet Show tonight.

It's time to put on makeup It's time to dress up right It's time to raise the curtain on the Muppet Show tonight.

Why do we always come here I guess we'll never know It's like a kind of torture To have to watch the show

And now let's get things started Why don't you get things started It's time to get things started On the most sensational inspirational celebrational Muppetational

This is what we call the Muppet Show!

Wed, 03/14/2012 - 17:18 | Link to Comment Lost Wages
Lost Wages's picture

If the market is the Muppet Show, Zerohedge is definitely the cranky guys in the balcony.

Wed, 03/14/2012 - 17:20 | Link to Comment Sweet Chicken
Sweet Chicken's picture

lulllzzz well put!

Wed, 03/14/2012 - 17:21 | Link to Comment HD
HD's picture

Those two old bastards are my personal heroes.

Wed, 03/14/2012 - 17:26 | Link to Comment TruthInSunshine
Wed, 03/14/2012 - 17:56 | Link to Comment greensnacks
greensnacks's picture

Bernanke must be the Swedish Chef.

Wed, 03/14/2012 - 18:43 | Link to Comment TruthInSunshine
TruthInSunshine's picture

What do The Muppets & Goldman Sachs have in common when it comes to their audience/"valued clients?":


The Running Gag



Wed, 03/14/2012 - 18:16 | Link to Comment Bunga Bunga
Bunga Bunga's picture

Blamkfein becoming the only human guest star in all episodes.

Wed, 03/14/2012 - 18:50 | Link to Comment Amish Hacker
Amish Hacker's picture

 Lost Wages: When the final curtain comes down, ZH will host the cast party.

Wed, 03/14/2012 - 21:40 | Link to Comment mayhem_korner
mayhem_korner's picture

If the market is the Muppet Show, Zerohedge is definitely the cranky guys in the balcony.


I resemble that remark.

Wed, 03/14/2012 - 17:26 | Link to Comment silverserfer
silverserfer's picture

any rich douchebag who is dumb enough to do business with GS truly deserves to do business with GS.

Wed, 03/14/2012 - 17:34 | Link to Comment NotApplicable
NotApplicable's picture

Problem is, GS has lots of customers who manage OPM. Like say, maybe your life insurance company, or your retirement fund.

Or worse yet, your local police/fire fighters/teachers retirement fund (not the sort of people you want pissed in your community).

OPM is not only one of the biggest elephants, it is also self-slaying.

Wed, 03/14/2012 - 18:27 | Link to Comment Seasmoke
Seasmoke's picture

Or worse yet, your local police/fire fighters/teachers retirement fund


What makes that worse, than anything else......and why do they even have a defined retirement , they are nothing more than public SERVANTS

Wed, 03/14/2012 - 17:31 | Link to Comment Stoploss
Stoploss's picture

Yeah, i think we got the squid over the barrel this time.

Wed, 03/14/2012 - 17:31 | Link to Comment gimli
gimli's picture

Muppets? I'm confused ........... that puts us all on Sesame Street -- not Main Street.

I thought CNBC was Sesame Street, isn't Jim Cramer ......  Animal?

Wed, 03/14/2012 - 19:19 | Link to Comment Flakmeister
Flakmeister's picture

No... Cramer is Howdy-Doody

Thu, 03/15/2012 - 00:22 | Link to Comment Nobody For President
Nobody For President's picture

An insult to Howdy-Doodys everywhere!

Wed, 03/14/2012 - 17:32 | Link to Comment The Swedish Chef
The Swedish Chef's picture

Bonds isn´t my thing but thanks for the heads up....

Wed, 03/14/2012 - 17:37 | Link to Comment tickhound
tickhound's picture

Don't worry about it.  Just sign here, here, and... here.

Wed, 03/14/2012 - 19:42 | Link to Comment TruthInSunshine
TruthInSunshine's picture

"You don't need to read that legalese." (that waives your right to file a lawsuit in a civil court and have a jury hear your case, instead being bound by arbitration as set up and run by Wall Street insiders, in the probably event that we totally screw you over 27 ways to Sunday

"It's standard language."

Wed, 03/14/2012 - 20:10 | Link to Comment tickhound
tickhound's picture



"Did you hear what I said?.. You CAN'T LOSE.  Now, initial these pages... Yep, anywhere."

Wed, 03/14/2012 - 21:18 | Link to Comment SillySalesmanQu...
SillySalesmanQuestion's picture

Or, we will conveniently just lose it...

Wed, 03/14/2012 - 17:36 | Link to Comment Johnbrown
Johnbrown's picture

Inside tip from 33 Liberty. Blue horseshoe loves TLT. Operation Twist 2/ Twist lite/ QE-Twist/ QE/stimulus/twister coming soon.

Wed, 03/14/2012 - 17:37 | Link to Comment Stoploss
Stoploss's picture

Thank You Tommy Stops. U da man.

Wed, 03/14/2012 - 17:48 | Link to Comment bania
bania's picture

Someone please tell me WB7 is working on the "Muppet Show Cast of Characters" poster...


Wed, 03/14/2012 - 17:51 | Link to Comment rfullem
rfullem's picture


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Wed, 03/14/2012 - 17:58 | Link to Comment wombats
wombats's picture

More like just comic relief.

Wed, 03/14/2012 - 18:02 | Link to Comment Yellowhoard
Yellowhoard's picture

Our Blankfien,
who art in Goldman,
hallowed be his name
Thine kingdom come
Thine will be done
For Muppets
As it is for Partners

That's all I've got.

Wed, 03/14/2012 - 18:20 | Link to Comment 847328_3527
847328_3527's picture

Can the Muppets sue?.... in Lower Sesame Court?

Do they have at least the same rights as "puppets"? 

Wed, 03/14/2012 - 19:08 | Link to Comment Tenshin Headache
Tenshin Headache's picture

Muppets are people too.

Wed, 03/14/2012 - 18:23 | Link to Comment VanceEva1
VanceEva1's picture

my classmate's mother makes $80/hr on the internet. She has been laid off for eight months but last month her payment was $18010 just working on the internet for a few hours. Read more on this web site ....

Wed, 03/14/2012 - 18:30 | Link to Comment Comay Mierda
Comay Mierda's picture



Wed, 03/14/2012 - 19:20 | Link to Comment Flakmeister
Flakmeister's picture

Sucking dicks on camera may not be all its cracked up to be.... Just sayin...

Wed, 03/14/2012 - 18:30 | Link to Comment bbq on whitehou...
bbq on whitehouse lawn's picture

If you get the chance, i would like to know what the vison of Goldman is. We know what money, power and station are. Do they wish the world in ashes? to be Kans of kans?

What is their vison their dream their goal?

For there students their proto-vison. 

What does it profit the man to rule over a world of as and radiation?

If you take everything and leave nothing will not a world of nothing become everything?


Wed, 03/14/2012 - 20:39 | Link to Comment lotsoffun
lotsoffun's picture

ozymandias - a great poem.  they all think they will escape it.  as i occasionally post here over and over, blankfein i understand, but i just don't get what motivates bernake.  he's just a butt boy for them.  and this new thing with the tweets - i mean he have spent a minute or two to look at that.  where there ANY positive comments?  how masochistic can you get.  everybody hates them except the top 1 % - who keep saying 'it would have been worse without the bailouts?  for who?  as bad as america is, there still is a 'real' economy.


Wed, 03/14/2012 - 19:15 | Link to Comment defn8Dog
defn8Dog's picture

For a fine example of Squidwork, check out the insider trading action in Cobalt International Energy (CIE).  The company's stock really took off after the Squid took a stake in Dec '11.  It appears not even Cobalt's chief operations officer, who was selling share grants at modest prices right through mid-Dec knew the company was going to hit such a gusher in Angola.  But it did!! The Squid knew!!  Even underwrote a secondary in Feb to help everyone who watches CNBC get in, and get them partially out.  It was a sell-side upgrade party with shares spiking 53%!  Sadly, shares are down 5% since the big day, but stay tuned for more stupendous breaking news from Angola including some indication as to when Cobalt will make their first dollar.

Wed, 03/14/2012 - 19:33 | Link to Comment Flakmeister
Flakmeister's picture

Somehow this just fits in what with all this talk about Miss Piggy:

A strange new growth has emerged from the manure pits of midwestern hog farms. The results are literally explosive.

Since 2009, six farms have blown up after methane trapped in an unidentified, pit-topping foam caught a spark. In the afflicted region, the foam is found in roughly 1 in 4 hog farms.

There’s nothing farmers can do except be very careful. Researchers aren’t even sure what the foam is.


“This has all started in the last four or five years here. We don’t have any idea where it came from or how it got started,” said agricultural engineer Charles Clanton of the University of Minnesota. “Whatever has happened is new.”

A gelatinous goop that resembles melted brown Nerf, the foam captures gases emitted by bacteria living in manure, which on industrial farms gathers in pits beneath barns that may contain several thousand animals.

The pits are emptied each fall, after which waste builds up again, turning them into something like giant stomachs: dark, oxygen-starved percolators in which bacteria and single-celled organisms metabolize the muck.


Wed, 03/14/2012 - 21:22 | Link to Comment Zone1
Zone1's picture

Wocka, wocka, bitches.

Thu, 03/15/2012 - 00:29 | Link to Comment Nobody For President
Nobody For President's picture

So how long before some ZH newbie shows up with a "Muppet" psued?


I can tell, Muppets is gonna be a new meme around here for awhile. Can't wait to see what WB is gonna do with it.


And I've finally figured out what Million Dollar Baby is...

Thu, 03/15/2012 - 02:53 | Link to Comment cnhedge
cnhedge's picture

will the money get allocated to stocks?

Do NOT follow this link or you will be banned from the site!