Prayers Denied As Fed Disappoints - Full Statement Redline

Tyler Durden's picture




 

And not only did the Fed disappoint, but it didn't even extend ZIRP through 2015. Sorry Hilsenrath, better luck next time

  • FED SAYS IT `WILL PROVIDE ADDITIONAL ACCOMMODATION AS NEEDED'
  • FED REPEATS EXCEPTIONALLY LOW RATES AT LEAST THROUGH LATE 2014
  • FED SEES INFLATION OVER MEDIUM AT OR BELOW MANDATE LEVEL
  • FED TO KEEP REINVESTING HOUSING DEBT TO MORTGAGE SECURITIES
  • FED SAYS HOUSING SECTOR REMAINS DEPRESSED
  • LACKER DISSENTS FROM FOMC DECISION

And if markets are surprised by this goose-egg according to which the September FOMC will at best be the ZIRP extension that was supposed to take place today just so Congress can sort its own mess out with the Fed, wait until Draghi confirms what we said last week: that he was merely posturing and is totally impotent without the Buba's blessing. Then you will see pain in a market which is 5% higher than where it would be absent his headfaked posturing.

Full redline:

 

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Wed, 08/01/2012 - 14:22 | 2669575 Chuck Bone
Chuck Bone's picture

"will provide" 

Wed, 08/01/2012 - 14:25 | 2669595 malikai
malikai's picture

For those watching QSN today, note we are only about 1/2 way through convergence. There's still plenty more downside to go.

https://www.quantsig.net/

Wed, 08/01/2012 - 14:26 | 2669614 strannick
strannick's picture

And only a 6 buck cough from gold.

Wed, 08/01/2012 - 14:28 | 2669635 Rubicon
Rubicon's picture

It was a fart

Wed, 08/01/2012 - 14:32 | 2669666 SilverTree
SilverTree's picture

Queef.

Wed, 08/01/2012 - 14:34 | 2669677 Precious
Precious's picture

Ben was last seen surfing Craigslist for used printing presses.

Wed, 08/01/2012 - 14:43 | 2669740 strannick
strannick's picture

Why used when he could just print the money to buy new?

 

Wed, 08/01/2012 - 14:52 | 2669772 The Monkey
The Monkey's picture

Wow. I'm surprised. The ECB must have something really big in store.

Wed, 08/01/2012 - 14:59 | 2669788 Dr Benway
Dr Benway's picture

HAHA! It's inflation of easing action! Instead of giving us printing to prop up the market, now we are given only vague promises of printing. And when that starts getting ineffectual?

 

Also so funny to read in MSM about good news from these meetings. What good news could there possibly be? "We are so fucked we are going to counterfeit vast amounts" would be good news?

 

Charts on massive Australian market manipulation:

http://s1144.photobucket.com/albums/o489/_DrBenway/

Wed, 08/01/2012 - 15:06 | 2669820 strannick
strannick's picture

Golds freakin me out. Its just sitting there, pegged on 16 hun. Its like its going to start vibrating out of control and the bridge will fall down.

Wed, 08/01/2012 - 15:07 | 2669827 economics9698
economics9698's picture

Food inflation is going to be a mother fucker, did I just say Ben Bernanke?

Wed, 08/01/2012 - 15:31 | 2669940 AldousHuxley
AldousHuxley's picture

Obama doesn't care

 

He has a choice between being a masterful, Machiavellian politician like Bill Clinton (good for one's career) or a great transformative leader like Abraham Lincoln (good for the nation)

 

http://www.youtube.com/watch?v=EnhkkugQ7PQ&feature=fvwrel

 

Obama #1 priority is to ensure the establishment

http://www.youtube.com/watch?v=n1w6w2n9Hks

 

Obama is a puppet says black comedian

http://www.youtube.com/watch?v=IiCYOr_rmHg

Wed, 08/01/2012 - 16:07 | 2670109 AldousHuxley
AldousHuxley's picture

Obama inherited $500,000 from his grandmother who was Vice President of Bank of Hawaii

 

Obama's father alraedy had a family (wife + kids) in Kenya, when he married Obama's mother (onyl after he got her pregnant), then ditched her to study phD in economics at Harvard. Obama Sr.'s life fell into drinking and poverty, from which he never recovered.

 

Romney is son of American Motors Corp, CEO and 3 time governor of Michigan, who also ran for president in 1968. As a student never had to worry about money as he took flights to see his girlfriend on weekend, bought a home, etc. WITHOUT A JOB. On his missionary to france, he lived in one of richest neighborhood in Paris others call "palace", which eventually became the building for the embassy of the United Arab Emirates. worth as much as $12 million. His wife is typical gold digger as she never really had a job and had majored in useless French Lit in college.

 

Choose from one elite for another, these people never knew what it is to be like to be without money or parental financial support.

Wed, 08/01/2012 - 16:58 | 2670240 HungrySeagull
HungrySeagull's picture

Stop stressing.

 

Gold price falls, buy more.

Gold price rises, keep it home.

Wed, 08/01/2012 - 14:59 | 2669796 fonzannoon
fonzannoon's picture

Monkey no offense but I think you may have overestimated the situation. But who knows....

Wed, 08/01/2012 - 14:51 | 2669771 BeetleBailey
BeetleBailey's picture

Shart

Wed, 08/01/2012 - 14:35 | 2669690 Sudden Debt
Sudden Debt's picture

it will lose some more for a while because the market is going to tank bigtime.
maybe the algo was there to do something tomorrow to keep it from crashing,who knows.
but the worse it gets, the more gold might really pop up now because it will get really clear that the last big printjob will soon come which will knock down the dollar and the euro in a big way.

Wed, 08/01/2012 - 14:40 | 2669725 Vaiman
Vaiman's picture

As per bloomberg

 

 

U.S. Stocks Fall as Fed Fails to Bolster Confidence Wow.....big fall....huh.....the S&P is down a whopping $1.66.  What kind of retard medicine are these people on?
Wed, 08/01/2012 - 15:15 | 2669858 mktfizx
mktfizx's picture

I hope it stays where it is.  Otherwise I will look stupid in my new "Dow 13000" hat.

Wed, 08/01/2012 - 15:21 | 2669887 ZeroAvatar
ZeroAvatar's picture

NO Sugar, BITCHEZ!

Wed, 08/01/2012 - 14:37 | 2669668 slewie the pi-rat
slewie the pi-rat's picture

look: INO.com Markets - Chart for U.S $ INDEX (NYBOT:DX)

and it looks like you may be right...

...at least for now!

Wed, 08/01/2012 - 15:14 | 2669777 slewie the pi-rat
slewie the pi-rat's picture

not me;  i'll only play in casinos for years now

but we can take solace that the FX tail has wagged the dog for another day, another week

re-test and repeat of last week?  buy time?  keep everything screwed down tight?

or is this the down-draft "like last year"?  that FX spike is pure "there are no markets--only interventions" so be careful

these guys have done pretty well painting the charts recently;  not that that means they won't lose control by 4PM eastern, of course...

...  ... ...  they coulda pushed this either way, imo, as i've said, with the FX;  i just guessed wrong maybe b/c it seems to be going to risk0ff rather than uncharacteristically staying on risk0n a bit longer

so this was the obvious guess after last friday's risk0n, but the dollar is blowing right thru 83 as i edit, so there is that deflationary "commodity price" brake being applied

but the 10 & 30 years are just starting to 'recover' from a significant price dip here today, so things seem a little schizoid about the whole dog & pony show, to me

i'm surprised equites seem as strong as they are right now

Wed, 08/01/2012 - 15:17 | 2669871 slewie the pi-rat
slewie the pi-rat's picture

if truth be told

unicorns are shooting outa my bong here,  BiCheZ!

Wed, 08/01/2012 - 14:35 | 2669686 Nadaclue
Nadaclue's picture

I found that statement very telling from last meetings "May Provide".

Wed, 08/01/2012 - 14:35 | 2669687 Atlantis Consigliore
Atlantis Consigliore's picture

you dont think 60,000 mini s and p sales at 2;59 front run? do you?  

 

LOL

Wed, 08/01/2012 - 14:45 | 2669744 Divine Wind
Divine Wind's picture

I was thinking the same thing.

Someone got the heads up and offloaded at the last min.

Wed, 08/01/2012 - 14:37 | 2669701 SeverinSlade
SeverinSlade's picture

That idiot that declared that Hilsenrath is actually the Fed Chairman was just proven to be an idiot.

Hilsenrath is just the fool that dangles the QE carrot in front of the market to give the HFT algos something to levitate on.

Wed, 08/01/2012 - 14:49 | 2669764 FL_Conservative
FL_Conservative's picture

While EUR/USD is dropping, it looks like the overall markets won't move until Draghi has to fess up that there's a turd in the punchbowl that they've been getting served from.  I can wait.  Tick, tock....

Wed, 08/01/2012 - 15:26 | 2669912 kralizec
kralizec's picture

"cross his heart,hope to die"

Wed, 08/01/2012 - 14:23 | 2669578 Debtonation
Debtonation's picture

The Fed will always give the market what it wants...eventually.

Wed, 08/01/2012 - 14:28 | 2669629 poor fella
poor fella's picture

Since 'Fed Day' is so important to The Global Economy, it should be a HOLIDAY!
Hmm, what to name it? 

How about:

1. "00000110 00000110 00000110", which is hard for carbon based units to pronounce so we'll call it 'Zerones Day' (which sounds like Zambonis).

2. or "SSDD-Day"

Wed, 08/01/2012 - 14:28 | 2669634 Jlmadyson
Jlmadyson's picture

True, though at that point it will be far too late.

They have even managed to pull the wool over their eyes.

It all comes back around..,,,

Wed, 08/01/2012 - 14:35 | 2669685 Caviar Emptor
Caviar Emptor's picture

Fed is boxed in because of Biflation: can't ease more due to rising prices which will just accelerate deflationary trends in employment, wages and consumption (ie, off shoring, downsizing, layoffs and wage deflation)

Wed, 08/01/2012 - 14:49 | 2669761 Cursive
Cursive's picture

@Caviar Emptor

Exactly.  Ben can have Dow 13k or he can have sub-$4/gal. mogas, but he can't have both.  Decisions, decisions.

Wed, 08/01/2012 - 15:27 | 2669925 Race Car Driver
Race Car Driver's picture

What would Monty Hall say? What's behind door number 3, anyhow?

Wed, 08/01/2012 - 14:23 | 2669579 Slope of Hope
Slope of Hope's picture

Cue "Full Retard" algo

Wed, 08/01/2012 - 14:35 | 2669669 spastic_colon
spastic_colon's picture

They bought another month of market rally cuz now September is REALLY the new QE date....trust us

Why do anything when you can use just the expectation to pump markets, they now know that any new QE will be viewed as the last, and quickly be faded, so just jawbone infinitum! They can now use the MSM to pump "September" headlines.

Wed, 08/01/2012 - 14:23 | 2669581 PicassoInActions
PicassoInActions's picture

why even have meetings when nothing is changed.

Wed, 08/01/2012 - 14:26 | 2669610 Piranhanoia
Piranhanoia's picture

the only way they get a chit for a free lunch

Wed, 08/01/2012 - 14:31 | 2669656 SoNH80
SoNH80's picture

Overburnt fried chicken and greasy collard greens with Crisco biscuit and hard margarine, mm--mmm--mm, D.C. gov't. cafeteria food is "dee-licious".

Wed, 08/01/2012 - 14:26 | 2669612 Cassandra Syndrome
Cassandra Syndrome's picture

Before 1981, the FOMC met only 4 times a year. What would the Balthsalt crackheads on Wall Street do if that were the case now?

Wed, 08/01/2012 - 14:26 | 2669613 HD
HD's picture

Propaganda only works when there is a steady stream of it...

Wed, 08/01/2012 - 14:29 | 2669643 Hype Alert
Hype Alert's picture
“If you tell a lie big enough and keep repeating it, people will eventually come to believe it. The lie can be maintained only for such time as the State can shield the people from the political, economic and/or military consequences of the lie. It thus becomes vitally important for the State to use all of its powers to repress dissent, for the truth is the mortal enemy of the lie, and thus by extension, the truth is the greatest enemy of the State.”

Joseph Goebbels

Wed, 08/01/2012 - 14:58 | 2669791 economics9698
economics9698's picture

He learned that from Woodrow Wilson.

Wed, 08/01/2012 - 15:30 | 2669936 rwe2late
rwe2late's picture

 

However accurate that alleged quote may be in describing what Hitler and Goebbels practiced,

it is historically inaccurate to claim Goebbels actually said that. There is no source to reference that quote.

What can be properly attributed is that Goebbels accused NAZI Germany’s enemies of using a ‘big lie’ tactic.

“The English follow the principle that when one lies, one should lie big, and stick to it. They keep up their lies, even at the risk of looking ridiculous.”

  

http://en.wikipedia.org/wiki/Big_Lie 

 

Since we are on the topic of big lies, another more recent one repeated often by US politicians (including Obama and Romney) is that Ahmadinejad said “Israel should be wiped off the map.”

 

Actually, Ahmadinejad said nothing of the kind.

 “Wiped off the Map” Fabricated

http://www.globalresearch.ca/index.php?context=va&aid=21188 

Wed, 08/01/2012 - 14:27 | 2669619 Itch
Itch's picture

For tea and biscuits, obviously.

Wed, 08/01/2012 - 14:23 | 2669582 fonzannoon
fonzannoon's picture

metals down. stocks flat. mission accomplished.

Wed, 08/01/2012 - 14:26 | 2669615 Hype Alert
Hype Alert's picture

The algo's must be about to burn a chipset out keeping this up.

Wed, 08/01/2012 - 14:35 | 2669688 cougar_w
cougar_w's picture

Funny.

"Captain! We need more dilithium crystals! She kinna take nay more!"

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