What Happened Into The Last FOMC Meeting?

Tyler Durden's picture

The hopes and prayers of a legion of long-only managers, stock-brokers, retiring boomers, and TV personalities rest heavily on the shoulders of one Ben Bernanke and just as into the last FOMC meeting in April, equity markets are surging on self-delusion (amid fading volumes and plunging average trade size) - while Treasury markets remain far less sanguine. Will it be different this time?

Average trade size is not confirming the start of a sustained uptrend here - in fact quite the opposite...

Charts: Bloomberg

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Squishi's picture

controlled free markets 

Dr. Richard Head's picture

Controlled Free-Fall Markets.

As Max Keiser puts it, "This is a controlled demolition conducted by financial terrorists." 

There you go.  Carry on.

Short Memories's picture

One more market sugar rush please so I can sell the rest of my equities and be done with them!

Thanks Ben!

financial apocalyptic contagion's picture

if every trader out there is thinking like you and the muppets are too scared to enter the game anymore, you might be in for a nasty little surprise even after bernanke comes flying in on his helicopter

strannick's picture

Bizarrely,gold down with the dollar as the euro rises before the FOMC fact. At the same time, the FDIC just made gold grade A collateral. Lookin qe hopeful to me.

LawsofPhysics's picture

Yes, we continue to "beat expectations" all the way down.

HarryM's picture

with VIX @ 17.8  ? - there better be QE or there will be QE after the ensuing meltdown - LOL

slaughterer's picture

PMs are not buying the QE story today.  Enuff said.  


Exactly how Benny Boy wants it......He will ride in to save the day......or not. 

BlandJoe24's picture

no qe was announced in April...

Dr. Richard Head's picture

No need for QE since Operation Titty Twist in full effect from September and the discount window was open. 

Credit is hot, pick 'em up!

ghostzapper's picture

Hey, when cheerleaders get hooked on Mr. Brownstone it can take an awful long time to condition them to stop texting the dealer every time they pick up their iPhone. 

derek_vineyard's picture

this 3 year rally with shitty common-man economy and basic disbelief by most is getting fucking boring

BlandJoe24's picture

seems more machine cold cruel than just boring

gjp's picture

Cruel beyond belief.

These last three days of lock-step melt-up in the nonsense momentum stocks have been excruciating.  Who cares about QE?  Whatever is publibly announced, the market has obviously had a non-stop drip feed (or fire hose) from the Fed since 2008.

Ecoman11's picture

Meanwhile... German Court rules lawmakers must be involved in euro decisions http://www.dw.de/dw/article/0,,16035506,00.html

"The judges found that the center-right coalition government led by Chancellor Angela Merkel had breached the rights of the German parliament by failing to sufficiently inform lawmakers during negotiations towards the creation of the permanent euro rescue fund, the European Stability Mechanism (ESM)."

bigwavedave's picture

thats a nice chart tyler. kudos

fonzannoon's picture

I think that they should just announce QE at every monthly meeting from here on out. The key to keeping the dollar strong would be if they took a citizen of each country that owns treasuries and electrocutes them during the whole meeting. It may seem a bit extreme at first but eventually you just get used to it and it gets the message across.

nobusiness's picture

It will be different this time because quarter end is just 10 ramp days away and the brokers need to make their fees.  This market should go up by a record amount over the next two weeks on pure bank bailout propaganda.  They need their 1% and Bernanke will maximize it.

nobusiness's picture

If you don't think I am right please refer to last year June 20 thru July 1st.  A 6% run straight up and that was without QE infinity.

DeadFred's picture

Now that retail is a dim memory the hedgies are the mortal enemies of the HFT robots, squirreling up the plan by adding a bit of volume to the vapor.  I don't expect the well being of the hedge funds is high on the to-do list of the ones who run the game.

RobotTrader's picture

Hard to see the market going down when we are 175 points away from 13,000 and the 10-yr. yield is a paltry 1.6% and gasoline prices are at 9 month lows.

We certainly don't need any QE program.

The Fed just needs to buy stocks now and then to keep the momentum going upward.

With GS and MS now just starting to come off the lows, it will be easy for the Fed to reverse the momentum by powerjacking a few key stocks and forcing the shorts to start scrambling for cover.

Saro's picture

People who participate in this market are the ones giving them everything they need to continue extracting wealth via their market-rigging.

Knowing that the market is rigged is all well and good, but if you keep your money in it, you give sanction to it, and you become the enemy.

derek_vineyard's picture

what does 13,000 have to do with anything

robo---do you really trade or are you someone's keen sense of sarcastic humor?

or did the website owners invent you to create contreversy?

or are you just a dickwad trying to stir up shit and get attention?

John Law Lives's picture

"or did the website owners invent you to create contreversy?"  -  derek

This is my guess.  Robo has had privileges on ZH that other posters did not have.  Robo was able to post charts etc. on this site.  My guess is Robo is a ZH plant to stir the pot and create buzz.  If ZH had an ignore button feature, methinks Robo would essentially disappear.

oddjob's picture

He has netflix egg on his face for life.

fuu's picture

He was a contributor early on.

madbomber's picture

what = robo ?

of = ?+ or or = if


a= really trade

b= pawn

c= dick

d= oni

e= closet homosexual

and if = 13,000? = ? +







HarryM's picture

Thank you for explaining how our Free Markets now work

BlueStreet's picture

AAPL is down.  Market rollover to begin in 5.....4.....3.....

VonManstein's picture

it does indeed seem to be as suggested here. But gold and silver being pushed down again today. If the cartel knew that there would be no print tomo then PMs would be up today ready for the crush tomo. Perhaps we should be counter intuitive.

also maybe treasuries are being bought as everyone knows the FED is coming back? and once the FED is back everyone will sell them ?

i donno. we shall see soon i guess.

Im long phyzz and have a few hundred paper ounces.

see if i get paper punished

jezzarayman's picture

very good point VonManstein, if this a QE Hope rally why isnt gold up at all? even on a day with the USD down .59% stocks, oil up. It is being capped at 1630, its fair to say with NO QE tomoz gold will probably fall $30-60, why are we getting these sharp quick sell downs and mini raids in gold if they know its gonna get hammered tomoz. makes you think? Trading these markets....good luck.

VonManstein's picture

to be honest we may be over analyzing things here, after all PM gets attacked most days. But last time bernanke spoke they ran up to get smashed on the day.

there may be some coordinated action going on here.. one player pushing down the paper price so another team member can get physical cheaper before the print.

but again. this happens most days so probably turn out that we have no printing tomo and PM go down more than usual.

but really, ahappening look at the EUR today. as usual someone knows something

VonManstein's picture

APPL could be seen as a safe haven play recently.. its not doing anything today. Gold neither. silver semi beatdown.. treasuries down down.. stocks and EUR fully retarded. mixed messages all over. price stabiliteee

good for the brain all this..

tomorrow is D day

VonManstein's picture

and im going short SPX with tight stop prior to Ben speak tomo regardless. cant be much more upsiide after all this insanity

VonManstein's picture

maybe i'll stop replying to myself now

jezzarayman's picture

I'm on the short SPX trade too but have just sworn to myself that after this downleg (hopefully!) I will never be shorting the US Markets again. I am also getting a tattoo on my face saying "take profit". 

Stuart's picture

you betcha baby!   The FOMC is only outdone by the G20 or the G8 as a Johnny comes late to the party...   GS can go suck it with its talk about flow purchasing.  Ya, right!

junkyardjack's picture

What happened after operation twist and the other QE programs? Might be more relevant

SmoothCoolSmoke's picture

I'm sure Ber-shankie already knows the SC's call on HC.  If bullish....no need for QE.  If not, plenty of QE hints.  Or...would he take a big 1-2 punch?  QE + HC and drive the SP to 1500.  Hmmmmmmmmmmmmmmm.  

HarryM's picture

But would it last to Election Day?

TonyCoitus's picture

On the day that Ben was born, the angels got together

And decided to create a dream come true

So they sprinkled moon dust in his hair

Of golden starlight in your eyes of blue.....


The Fed rules bitchez......until it doesn't!

sbenard's picture

Anyone -- is the Fed statement released today or tomorrow?

junkyardjack's picture

Tomorrow, I believe at 12:30 but I could be wrong, it may be like 1 or something.  I think there is a whole thing with it comes out 15 minutes after the time because its still sent by fax instead of electronically.

HarryM's picture

don't forget afternoon rumor

sudzee's picture

Is it just me or have the news wires been deathly quiet since last Friday. CNBC wires have been frozen during market hours for at least 3 days. Bloomberg seems not up to snuff as well.

Stuart's picture

one of best things that could happen for the markets is to simply take those two sesame street shill channels off the air, permanently.