The Chairman of the fermentation committee, Art Cashin, usually keeps a very apolitical, sober (metaphorically speaking at least) and cool head on, as all veteran traders should. Which is why we were quite stunned to notice that even the NYSE floor veteran may have finally crossed the Rubicon in his political observations. And if Art feels this way, one wonders just how the other Wall Street players, whose voices have far less need to be moderate, really feel...
From UBS Financial Markets:
A Perfect Image – We don't usually comment on political speeches but having written and delivered several hundred business and retirement speeches over five decades, we think we know a good image or phrase when we hear one.
Here, thanks to our good friend, Dennis Gartman, is a home run from Paul Ryan's speech:
College graduates should not have to live out their 20’s in their childhood bedrooms, staring up at the fading Obama posters and wondering when they can move out and get on with their life.
Wow!
The reason this is notable is simple: recall that the one catalyst that could throw the presidential election, that many already say is a slam dunk for Obama, into a tailspin is the S&P crashing in the months, weeks or days heading into November. Certainly this fact is not lost on Wall Street. And what is Wall Street best known for? Why sending markets higher or lower, without regard for fundamentals, logic, or anything else for that matter. Will it, and by implication, its Fed muppets, do all in their powers to do just that: crash stocks and kill Obama's reelection chances?
We don't know, but those October and November puts looks increasingly more attractive.