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Or maybe not on the 1370 battle .... Once mr. Market decides he's had enough he pukes it up in a hurry giving you little to no chance of getting out at previous levels ... Keeps trying to bounce and keeps failing ...
Looks like gas will be topped out soon .... As I've said all along only thing that will bring oil down is a falling equity market ... And the switch being flipped from risk on to risk off
Goldman made pretty much the most bullish call I've heard from them in a while pretty much at the top ....
Bear market will end when GS zero, probably not but would be a fitting and righteous end to this charade
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Muppets Skewered: 10 Year Treasury At 1.999%
Submitted by Tyler Durden on 04/10/2012 - 10:22
10Y Treasuries just broke below 2% yields for the first time in a month. Was it just 3 weeks ago that Goldman suggested selling bonds and buying stocks?
March volume was lowest since dec 2007 when last bear was in its infancy stage...
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Volume Is Back
Submitted by Tyler Durden on 04/10/2012 - 14:31
New York Stock Exchange
With ninety minutes left in the trading day, NYSE volume run-rate is its highest of the year for a non-OPEX day. S&P futures are also showing heavy volume - around 60% above average for the time of day.
Think I'm gonna give IAG another go ... A hedge of sorts ...Just cant get over how cheap some of these gold miners are and having a hard time believing they will tank much more with a overall bear market... Looks like 12 could be a support area ... Also impressive day by gold with a nice midday spike ... Only thing green besides dollar and bonds today ...
Fed Yellen will pump the market tomorrow.
AA pops in extended trading, but can't get out of 10 bucks range for 6 months now.
Spain is back in the headline. 10-yr bond trades near 6%. Yippee. I could get 10-yr loan for less than 4%. My credit is a lot better than Spain. WTF. Lol!!
silver up tooOriginally Posted by tiznow
Spain bailout is on...woohoo!!
ECB Official Says Bond-Buying Program Available
Published: Wednesday, 11 Apr 2012 | 6:10 AM ET
By: Reuters
The scale of market pressure on Spain is not justified given the reforms being undertaken by its government and the European Central Bank still has its bond-buying program as an option, ECB Executive Board member Benoit Coeure said on Wednesday.
http://www.cnbc.com/id/47013678
At some point it will just stop "working" snoop ...
Back to the ol 1370ish battle ....
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Guest Post: Calling All Crash Test Dummies: Big Crash Ahead
Submitted by Tyler Durden on 04/10/2012 11:38 -0400
Ben Bernanke Ben Bernanke Central Banks European Central Bank Fail Free Money Guest Post None Reality Recession
Submitted by Charles Hugh Smith from Of Two Minds
Calling All Crash Test Dummies: Big Crash Ahead
If the stock market can never crash again due to the Bernanke Put, then why have all the crash test dummies been ordered up?
I know, I know: the stock market will never go down because Ben Bernanke and the other central bankers won't let it. It's funny how the "Bernanke/European Central Bank Put" is ranked alongside gravity as a rule of Nature until markets roll over; then talk shifts from purring adulation of central bankers' godlike powers to panicky calls for another flood of liquidity/free money to "save" the market from the harsh reality of global recession.
The crash test dummies know better: they've been called up for a humongous crash.
The basic mechanism that is being overlooked is Liquidity Resistance. This is akin to insulin resistance, where insulin becomes less effective at lowering blood sugars. The amount of insulin required to maintain normal blood sugar levels increases as resistance rises until even massive doses of insulin no longer have the desired effect and the system crashes.
Liquidity has the same dynamic. Back in the good old days of 2008-09, a $1 trillion tsunami of liquidity was enough to save the global debt machine from implosion and spark an enduring global stock market rally.
The current rally since late December required (by some estimates) over $3 trillion in global liquidity injections from central banks. In four years, the market's resistance has skyrocketed: where $1 trillion launched a multi-year global rally (goosed along with QE2 and Operation Twist when it began to falter), now $3 trillion yielded a 100-day rally that is already coming apart at the seams.
You see where this is going. To maintain the veneer of normalcy, i.e. a continuing Bull market, the next liquidity injection will have to be $5 trillion, and it will spawn a rally of perhaps 50 days. That $5 trillion will probably break the global market; if it doesn't, then the next tidal wave of $7 trillion (or whatever the market needs to trigger another high) most certainly will.
At some point, the liquidity injection will fail to boost the market at all, and that will trigger a panicky rush for the exits.
None of this is new or surprising. One technical tool of interest is the Coppock curve; this chart is courtesy of frequent contributor B.C.:
Those who argue that "this time it's different," i.e. that markets can inflate essentially forever on the "juice" of liquidity, are conveniently overlooking Liquidity Resistance. The crash test dummies have been ordered up, and not because "this time it's different:" they've been ordered up because central bank manipulation is not a law of Nature, it is an artifice of increasingly marginal effectiveness.
They’ll actually pay you to store your gold
by Simon Black · 2 comments
April 11, 2012[Editor's note: Sovereign Man Chief Investment Strategist Tim Staermose is filling in for Simon today.]
Hoi An, Vietnam
Here’s something you don’t see every day: Banks in Vietnam will actually pay YOU to store your gold in one of their safe deposit boxes. I was pretty surprised to find this out for myself; neither Simon nor I have seen it anywhere else in the world except here.
This is actually how banking used to be. The original bankers were goldsmiths– big burly guys who worked with gold on a daily basis. They had the security systems already established, and, for a fee, they were willing to let you park your gold in their safes.
Eventually, goldsmiths got into the moneylending business; instead of charging a security fee, they would pay depositors a rate of interest for the right to loan out the gold at a higher rate of interest.
Goldsmiths’ reputations lived and died based on the quality of their loan portfolios, and their consistency of paying back depositor savings.
Today that’s all but a footnote in history. Except in Vietnam.
Vietnam’s economy enjoyed a strong boom in the mid-2000s thanks to economic liberalization and foreign capital inflows. Within a few years, the economy overheated and inflation became rampant. Then came the global financial crisis.
The Vietnamese government’s response, as it has been with governments all over the world, was to print more money. This further exacerbated the inflation problem and undermined confidence in the currency.
The unfortunately named Vietnamese dong has been devalued to the point where it now has an absurd number of zeros. Over the past 3 years it has lost some 30% of its value against the US dollar– it now takes about 21,000 dong to buy just one US dollar.
Against stronger currencies such as the Aussie dollar and Canadian dollar, the dong has plunged even further.
As such, it comes as no surprise that the Vietnamese people don’t trust their government’s paper money. They prefer to earn dollars and keep their savings in gold. Banks have jumped on board, encouraging gold deposits by offering attractive interest rates.
Property prices are frequently quoted in gold as well. It’s cultural– the average guy on the street is very aware of gold and probably knows the price.
The government doesn’t like this at all because it can’t print dollars or gold. So, it is discouraging their use, forcing non-tourist business owners to exclusively use the dong.
The government has also introduced regulations to discourage gold hoarding. Technically, it’s not permissible now for Vietnamese banks to pay interest on gold deposits anymore, but it still happens in practice.
So much for Warren Buffet’s assertion that gold is just a silly cube that doesn’t pay any yield.
It’s ironic that places like Vietnam are considered poor, backward, and undeveloped by the West… and yet it’s precisely these same people who are smart enough to culturally reject worthless government-issued paper currency in favor of something that is naturally scarce and lacks counterparty risk.
We should all be so wise…
Until next time,
Tim Staermose, Chief Investment Strategist
Sovereign Man
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With the current rate, the commies will go Zimbabwe for the 3rd time in 35 yrs....
Man natty gas cut below 2 today how low can it go ...
As for the above article it's not a matter of the vietnamese are sharper persay
It's a matter of when you are in a smaller economy/country the world doesnt need to survive the money printing effects/debasement are felt much faster
In the US most don't even notice it as the printers slowly rape the average working class joes with currency debasement intended to keep the status quo of crony capitalism that favors the elite going as long as possible..
We'll see if bears (any left? Other than a few loonies like me) can win this battle of 1370 ... Retesting the breakdown now .... Fall from here should finally be risk off for the time being ....
Well so much for that flushed out again for a minor loss ... successfully retested 1370 no point in fighting the insanity anymore for now ...
Hopped back in GSS at 1.65
IAG up about 5% today..>>hard to understand why that stock is below 17.50..must be the risk of geography of mines; along with shorting..
gl
Bad news is a good news, good news is a better news.
Jobless claims go up, QE3 hope is back on.
S&P
Short has a better % chance than long, IMHO
China good whisper number was the catalyst today ... That coupled with fedspeak saying two letters ...
China GDP missed 8.1 vs 8.4 estimate
NK rocket launch failure and we actually give these idiots the time of day ....
We are already taunting them with well their next move now will be to develop nukes to save face..... Foreign policy today is pure loonie toons
NK rocket launch failure and we actually give these idiots the time of day ....
Modern propaganda is pretty hilarious
N Korea is full of muppets, even the Chinese have yet to produce an aircraft carrier or a nuclear submarine which actually works, things we had already achieved by the 1950s
Even in the year of 9/11 there was far more chance you would die or be seriously injured in an automobile accident or a firearms incident, risks we already take completely for granted in our day to day lives
media manipulation is intruiging
In the UK the BBC has recently completely dropped the global warming propaganda, I'm not sure why yet but there will be a government policy motive
Fear is that NK will have to underground test nuclear bomb to "save face:"; over total failure of rocket...>>
gl
Yeah it's a total joke eekster ...
So many lives lost on top of how many others are mentally or physicially fucked for life over 9/11 .... in the name of keeping us safe from a bunch of people still living in the 18th century running around in the desert blowing each other up .... and at the same time we are pissing them off even more by being there .... All in the name of war profiteering and oil shit ...
Not to mention the Saudi connections of the 9/11 hijackers and all that stuff as well...
In the end people as a whole are sheep and need a script to follow .... When things don't go according to plan ... They freak out and will let those in power do what they please ....
Car accidents, inter city murders, that's all part of the plan and normal .... But if a few thousand (don't get me wrong it was horrible event just like are the thousands that die on the roads every year) die by 18th century dwellers flying a plane into a symbol of Americana it's time to rally around the flag and go globe trotting sacrificing more lives when there is no imminent danger... Make up some stories about our previous friend saddamm while we are at it ...
On 9/11 we either A. Got caught with our pants down as horrific breach of security to allow 9/11 to happen or B. kook theory of "they" allowed it to happen for "the greater good" in their grand scheme of global domination lol
Nuclear bombs are old technology
Today what matters is missile technology and means to deliver it .... And obvious NK is zero threat in that area ... But I guess we should all be scared about the potential of them developing some nuclear bomb that they have near zero probability of being able to deliver to the US ... Japan maybe a worry that would be about it and if it ever came to tht we'd know about it an be able to counter defense their crappily made missile ... Also not all nuclear bombs are equal ...
People are programmed to hear nuclear bomb and immediately freak out ....
NK has a much higher chance of blowing themselves up with a nuke then us lol
..
I agree; and that's the problem....
gl
That note is worth about 22 bucks in US$...
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