So the government may issue 400-700 billion dollars in short term notes, in order to take the garbagio off the banks’ balance sheets. In other words, the tax payer will eat Wall Streets losses, while they (Wall Street) get back to business as usual. Without a doubt, such a facility will help the banks short term, but fuck the economy long term. Gold should rally and the dollar should suffer.
After today’s trading, I am pretty sure my life expectancy dropped by 5 years.
I have not moved this fast, since the dot com bubble days. Literally, I moved millions on the short side to long, in a matter of 30 minutes.
Typically, i would never act so rashly. But, I have a hunch this plan may resonate with Wall Street. And, coupled with the fact that the media is blaming Al Qaeda for shorting American financial institutions, I suspect the rally will continue.
But, if it doesn’t, I will file a class action law suit against CNBC for disseminating false rumors.
The assholes on CNBC were half way dead when Morgan Stanley [[MS]] and Goldman Sachs Group, Inc. [[GS]] were printing at the lows. Incessantly, they were trying to rally the stocks, in order to help a few assholes out. Then, Charlie “meatball” Gasparino released the RTC rumor.
Now, if this turns out to be one big circle jerk, I will quickly blow out of my Citigroup Inc. [[C]] , [[UYG]] and [[ROM]] , and reverse course again. This is my stupid life.
At the end of the day, Bill Miller from Legg Mason, Inc. [[LM]] is still an asshole (did LM really print $51 today?). And, the economy is still a filthy cess pool. Nonetheless, in the interim, there may be limited upside over the next week or so.
UPDATE: The SEC is going to ban short selling, for an undetermined time frame. With “The Fly” covering his shorts today and going long, the term “The Fly Wins again, even when he appears to be losing badly” applies.
If you enjoy the content at iBankCoin, please follow us on Twitter
Class Action Lawsuit?? Bring it on, I’ll be part of it.
“Al Qaeda for shorting American financial institutions”
Are you serious? They said this on CNBC?
The genius in getting long C was potentially your best call of the year, Fly. It’s the right balance of getting long a bank that’s too big to fail, but has been beaten like a rented mule this year. Hat tip to you, good sir. Now, let’s just hope the RTC talk wasn’t a dastardly rumour [sic] by those malevolent malcontents at WaMu.
I could see Bin Laden now in his cave in Pakistan checking the quotes on his Bloomberg (what else?), doing technical studies, and then placing his orders to Goldman Sachs (who else? wink wink) on his Dell.
Life is a bitch when you are sharing a cave with your favorite camel.
Shit, if you get out of C with alacrity tomorrow, you may crash the whole fckuckin’ market yourself!
__
Now, let’s just hope the RTC talk wasn’t a dastardly rumour [sic] by those malevolent malcontents at WaMu.
Save this one for your grandchildren, asshat.
_
I haven’t been this fired up in a long time. It’s personal now, if they really try to take the bad debt off of the bank’s books. I love my country, as fucked up as it is. I swore an oath to defend the constitution and as far as I am concerned, a firing squad is too merciful for these fuckers.
I swear on my father’s grave not to bend over and take this crap anymore.
Ozark,
Agreed.
Ya… That fucker hit $51 when I was still in it. I almost had a panic attack. Somebody must have missed typed a number on a buy order or something.
I’m still short AXA but I put on some UYG to hedge. Whichever profits first I’ll close. That’s the only way to play this volatility if you’re a small fry like myself.
Best.
Post.
Ever.
LOL.
“Without a doubt, such a facility will help the banks short term, but fuck the economy long term.”
This seems to be the default plan for whatever action the FED/PPT takes. Slap the band-aid on to stop the bleeding; deal with the infection later. And by deal, I mean slap another band aid on.
Rinse & repeat until we have to amputate.
I saw that tick in LM real time, somebody got hurt.
I had my balls in my mouth when LM printed +15 at the 51 tick.
I missed the day end rally…big wad of cash in one hand and my dick in the other.
Total fuckery!!!!
I agree with Ozark and Jake. Dpeezy, the amputation will be done with a rusty butter knife, get ready for it.
no joke — I got an email newsletter tonight from Louis Navellier (yeah I know an infamous permabull) who says that he thinks Citigroup (C) will be the next bank to fall, he doesn’t say exactly why. I couldn’t make this up if I tried.
boca,
he may have to revise his prediction if RTC holds merit
Ed, I sure don’t know what’s going to happen, it’s crazy right now. Can’t imagine he knows either.
Even I didn’t think shit would get this fucked up.
Wowsers!
My bad.
All I have to say is I’m fucking going to Las Vegas and I’m gonna start gambling like crazy. Actually, I’m gonna take out crazy loans and gamble and if I lose Hanky Poo fucker better come and take my debt away and make me whole. Free country my ass, as long as you got your buddies in DC you can do whatever you want.
BULLSHIT, FUCKING BULLSHIT.
i’m just pissed that i wasn’t at home for turn in the afternoon. i’d become sick of waiting around for something to happen and left. of course it occurred while i was out. i rashly bought some RIMM, but felt dirty doing it.
C is like my white whale. i’ve tried to trade that thing 3 or 4 times, and i’ve been stopped out every time. i’ve given up on it, as a matter of principle, but i hope it works out for you.
if this RMT thing turns out to be bogus, i’ll be in the SKF faster than the LHC.
There once were a couple of politicos,
They went by the names of Paulson and Cox,
They sat around with their fingers up their nose,
Until one day the shorts cleaned out the Bankers clocks.
So Cox said to Paulson,
Hey wake up,
Let’s turn into Socialists for fun.
They put the screws to the shorts,
And the shorts complained with loud snorts,
You two are Commies,
For which Paulson and Cox replied, You guys can eat our Salamis.
My boy did good today, no?
“Paulson was Staff Assistant to the Assistant Secretary of Defense at The Pentagon from 1970 to 1972.[7] He then worked for the administration of U.S. President Richard Nixon, serving as assistant to John Ehrlichman from 1972 to 1973.”
awww shit. temp ban on short selling here, too, according to the WSJ.
…oh yeah, used to call them boys H & H when they were together, which was a lot. No end of evil those two could conjure up…I miss ’em so but soon they’ll be here with me…
How hot is it down there, HR?
Hank will be with you soon, on the working end of the pineapple if you know what I mean.
And for those who think C is too big to fail, it might also be too big to NOT print a $2 share price cum FRE, FNM, AIG, etc.
Si. He did good. Now if we can only get G. Gordon Liddy appointed on The Supreme Court.
Bending over the tax payer, yet again…
QQQQ is ripping higher after hours. Wow. Huge gap open tomorrow morning.
Puts are toast. Well we must take advantage of the rigged market and go back to being 125% long.
Enjoy the “Financial Science Fiction.”
The Fly is God
http://www.youtube.com/watch?v=1NvgLkuEtkA
Cuomo will no doubt investigate these al Quaida shorting rumors.
Yes, an emergency order came out late today, which I have a copy of. The gist of it:
1. No sales of any long stock unless it is already booked into the account or a certificate is in the broker’s hands. All sales of certificated stocks must be approved (basically verified to be legitimate) before a sell order can be entered.
This means that if grandma wants to sell her 1000 shares of XYZ company that she has owned for 30 years, which she has a cert for in a safety deposit box, she can’t just call up the broker and make a sale. She has to bring it in first. Tough titties if XYZ stock is tanking.
2. Short sales are subject to buy-in on settlement date or at anytime thereafter, WITHOUT prior notification, at market open.
This means you think your cool one day, only to wake up totally fucked the next morning.
Already discount firms are limiting short sales to stock held in-house. The fear and distrust continues to grow ….. and these idiots in government are adding to it.
Just the other day I was worried about options and futures contracts going unhonored in a big downturn. This crisis has barely gotten rolling and we are already seeing attempts to roll up the shorts.
Fuckers! They can’t stop the inevitable, but they can make it worse.
Did CNBC say that Bin Laden uses the slow stochs to make his trades?
I’ll probably sell the massive gap up on options expiration expecting a fade.
I doubt 400 – 700 billion is enough for all the shit that’s out there.
Ozark, Oh shit. (Isn’t that what the pilot says before the plane crashes?
I have no doubt that McCain knows how to approach our nations energy problems.
Buy paper stocks ( wood pupe ) the gonerment gonna be in need of it.
“Fuckers! They can’t stop the inevitable, but they can make it worse.”
So very true. I’m starting to get very p-o’d. And one day before options expiration date, screw you shorts, your dead!
However, some of my worthless call options might suddenly be worth something.
My head is freakin’ spinning. I bet Cox is giving the finger to McCain right now.
Tonight’s summary from The Elliott Wave Lives On …
“Quite a wild ride today. When the SPX hit 1134 at 1:00, I labeled the hourly chart as having completed Minute iii, right at the 1136 pivot, expecting a Minute wave iv rally to follow. And rally it did! Within three hours the SPX rallied from 1134 to 1211, a 75 point move. Since Minute wave i ended at SPX 1212, today’s high should be the extent of the rally, unless our count is incorrect. If the SPX rallies to the 1219 pivot, our short term count will need revision. If the SPX rallies to the 1240 pivot, we have probably seen the end of the downtrend. Tomorrow appears to be an important day of assessment and evaluation regarding today’s events.”
Boca – the PPT & al queda know very well, that a precision timed bomb going into option expiration packs 10 times the firepower of an ill timed explosive
All is fair in love, war & option expiration
I just can’t believe what I’m hearing anymore. This will end very, very badly.
What an insane day. Well done, Fly, switching your shit up.
I was too busy trading like a coked-up hyena to watch CNBC. What’s this bullshit about Al Quaeda and shorting stocks?
I mean it sounds hilarious. Can someone tell me it’s a joke?
-DT
Paulson sounded scared shitless just now. 50/50 that the markets don’t open on Monday.
What an absolute horror show.
How many times in the past year have they come in before options expiration and pulled some bullshit? Seriously, I have lost track. This is the most egregious by far …. changing the rules for options underwriters two days before expiration. Who are the real crooks here?
1987 was NO WHERE this fucked up. Total Bullshit.
DT,
That dwarf Cramer, who has helped more people lose money than OTB, equated the shorting of the financials to terrorism. There was probably more to it, but that’s the sense I got from the link someone posted to his comments.
DT, Cramer was babbling today about evil short sellers and their financial terrorism of our fine American market. The man has gone over the edge.
I guess Paulson really does have a big bazooka, or RPG.
Was anyone watching the mini-conference after the meeting at Pelosi’s office (where Boehner, Pelosi, Reid, Bernanke, and Paulson gave those little speeches) and absolutely absolutely not believe they had any idea what they were doing?
this is gonna be bad. you pull the shorts, you pull future demand from the market. when stocks need to sell and there is no bid….
freefall
Employee 8: We’re probably going to open near 1240 and blast right through it. It’s malt liquor time again. Uptrend begins and lasts at least through the elections. By around that time, since we will no longer experience short squeezes, we go back down China style to retest today’s lows. Then we’ll blast right through the lows into crash mode again. Fun shit ahead.
awake, yeah. that was my comment about Paulson sounding scared shitless.
i just want to know if there’s going to be some kind of mass buy-in. holy hell. you could just run down the list of the most heavily-shorted names and buy the fuck out of anything.
ABK? sure. SHLD? you bet. MBI? pardon me, while i rent a u-haul.
nah. there’s no way they could do that. the market would have a technical failure.
sorry. i just had market beer-goggles for a few seconds.
Did you people see me on television?
Understand, that I am pushing Mr. Cox to ban you fuckers, trying undermine the American way.
That whole “wave” thing was done back when I was “experimenting” with coke.
I made more selling the books than I ever made investing.
Strange things are definitely afoot at the Circle K … I mean our center of government Washington DC.
I hope Fly filled his blood pressure meds prescription.
Anyone have a clue on how the short sales rules will impact the Ultrashort ETF’s, if at all?
100 point move today on the $SPX, wow!
The Fly is a gymnast, amazing agility!
I’m both SCARED SHITLESS yet DROOLING WITH ANTICIPATION. The government is creating a replacement bubble out of leftover government cheese and will snap it into place.
The PPT knows they need to get the market above technical support to have any chance of it working … I’m sure they’re gunning for SPX 1300.
Futures up like a thousand. Foreign socialist & communist members of the GPPT have been given orders to FUCK the bears back into hibernation, and they’ll cooperate.
For those who give a shit:
http://www.congress.org/congressorg/home/
I am a jaded mofo, but I used to do a little political work, and I can assure you that your reps do give a shit about things if enough of their constituents rise up. They like to get reelected.
norcal the ETFs use swaps, so it’s not like they’re borrowing stock and selling and buying back each day. they won’t be suspended or anything like that.
I guess its official now!
SEC to temporarily ban short-selling: report
By Robert Schroeder
Last update: 7:53 p.m. EDT Sept. 18, 2008Comments: 148
WASHINGTON (MarketWatch) — The U.S. Securities and Exchange Commission intends to temporarily ban short-selling, The Wall Street Journal reported Thursday night. It’s unclear if the commission has approved the move, the Journal reported. SEC Chairman Christopher Cox, Federal Reserve Chairman Ben Bernanke and Treasury Secretary Henry Paulson were briefing congressional leaders Thursday night. The U.S. move would follow a similar action by U.K. regulators on Thursday
Where is the young man who was asking yesterday “why should the FLY “aka GOD” cover his shorts? The govenment can’t do anything to change this market”
…………….ah…….ahem……..ah…yeah, ok.
AU CONTRAIR wins again.
Am I the only one thinking that the Russell 2000 has no business being up on the week? A plethora of sell orders are standing by.
-cdi
C hank run, C hank bail, C hank get fired and go for a sail.
Fly,
Great move today. That was a work of art. You and the whole gang were right on.
You never covered your shorts previously. What made you covered all your shorts, ie 100% of them?
The Al Qaeda thing….I actually can see that to some degree. If I were some terrorist sponsored nation or group with access to a ton of cash and saw an opportunity to bring havoc to the U.S financial system by shorting the shit out their institutions and making more money to fund there activities in the process….now that seems like a win/win for the bad guys.
Might be a complete fabrication….but….think about it for a second.
It also could be the justification the government will give for the short sale dislosure bill, to give a clear honest picture of who is shorting and/or manipulating stocks.
No, now that you say it was Cramer who equated shorting stocks with terrorism, I feel better. He’s getting desperate.
He was a hedge fund manager back in the day… did he never short stocks?
Meanwhile, Suze Fucking Orman was just on saying that this downward action in stocks is weird. I guess she wasn’t around in 2000 and 2001? Stocks were dropping out of the sky! The only difference, of course, was that we were coming off of our highs, so people still felt rich.
-DT
Al Qaeda, lol yeah right…
Bin Ladin is CIA
http://www.youtube.com/watch?v=0UGXVic15ho
When in doubt, blame something that isn’t real…
It’s like a loser who gambled away his bonus and couldn’t buy his kid a christmas gift
“Looks like Santa Claus didn’t come this year, Tommy?”
Only instead of gambling away a bonus, the government gambled away the nations future…
fucking brilliant.
Poof … Short Sellers are dead.
I see some similarities between the current environment and The Panic of 1907.
http://en.wikipedia.org/wiki/Panic_of_1907
Congress passed a law after The ’29 Crash banning short selling under many conditions. That IMO helped to prolong the Bear.
Fools and Nutjobs. I daytrade so I go both ways but I would hate to see a 2-4 year bear market.
Wow what a day what a week! Charlie Gasparino[sic] looks like he’s 60 years old.
Melissa Lee just said WB was up 58% today- with a straight face.
I had to follow the market today on my mobile phone. Has confidence come back in the market? One bullish signal was that everyone on Main Street was buzzing about Wall St. — All the RW radio gave PalinGATE and Obamagirl a break and went with the Wall St rap. Could be the sign of a tradeable bottom but I doubt it.
Fly, how much money do you manage? Was it the RTC or this that caused you to reverse directions … Just asking
SEC News:
The U.S. Securities and Exchange Commission may require hedge funds to disclose their short-sale positions and plans to subpoena the funds’ communication records in an effort to stem turmoil in stock markets.
Hedge funds and investors managing more than $100 million in securities would be “required to promptly begin public reporting of their daily short positions,” Chairman Christopher Cox said in a statement late yesterday. The agency will obtain “disclosure from significant hedge funds” regarding “past trading positions in specific securities,” Cox said.
Great call on C Fly, and great info on the short status of the banks.
This is one crazy market – glad you held off having your heart attack – lots of Rib-Eyes this weekend!