What the fuck is going on here? I was expecting beluga and received Hudson River sardines instead. The new correlation is silver-SPY, go figure. I suppose silver is the new barometer for risk, as idiots sashay in and out of the shiny metal as if it was a diversified basket of stocks.
Joined Nov 10, 2007
23,428 Blog Posts
The risk trade? So 2010! 🙂
EXK is killing me today. STAY STRONG.
“STAY STRONG”: the favorite expression of people in losing trades who have no idea what they are doing and when to get into or out of trades. ‘STAY STRONG’ = SLOPE OF HOPE
Surrender your love or forever hold your peace. STAY STRONG.
buy the blood later today
That’s worked so far. Why wouldn’t it keep working?
it’s kill everything time, all pm holders too
I’ll post here instead of the last blog post, but here’s my response to thewife regarding when the debt ceiling gets raised:
These things take a long time to pass, especially when there is disagreement. In ’95-96 when Clinton and Gingrich were fighting about spending, the debt ceiling, Medicare etc., the government shut down multiple times and the arguing went from November 14, 1995 (govt shutdown) through March 1996. Interest payments get delayed, payments get missed, and special interests groups get pissed.
Also, consider this for 2001-2008 activity:
A statutory limit has restricted total federal debt since 1917 when Congress passed the Second Liberty Bond Act. Congress has raised the debt limit five times since 2001. Deficits each year since 2001 and the persistent increases in debt held by government accounts repeatedly raised the debt to or near the limit in place at the time. Congress raised the limit in June 2002, and by December 2002 the Administration asked Congress for another increase. As the debt neared the limit in February 2003, the Treasury resorted to accounting measures at its disposal to avoid exceeding the limit. Congress passed a debt limit increase in May 2003. In the spring of 2004, the Treasury had asked for another increase in the debt limit. After
Congress recesed in mid-October 2004 without acting, the Treasury Secretary notified Congress that the actions he was taking to avoid exceeding the debt limit would suffice only through mid-November. Congress approved a debt limit increase in a post-election session, which the President signed on November 19, 2004.
In 2005, Congress included debt limit raising reconciliation instructions in the FY2006 budget resolution (H.Con.Res. 95). Approval of the budget resolution in April 2005 triggered the automatic passage of a debt limit increase in the House. With no action having been taken by December 2005, the Secretary of the Treasury sent several letters warning Congress that the Treasury would exhaust its options to avoid default by mid-March 2006. Congress passed an increase in mid-March, which the President signed on March 20.
The adoption of the conference report on the FY2008 budget resolution in the spring of 2007 automatically (in the House) created and deemed passed legislation (H.J.Res. 43) raising the debt limit by $850 billion to $9,815 billion. The Senate Finance Committee approved the resolution on September 12, 2007, which was
passed by the Senate September 27 and signed by the President September 29. The 2008 economic slowdown has led to sharply higher estimates of deficit spending, raising the prospect of another debt limit increase in the near to medium term.
‘the wife’ is a man masquerading as a woman, as is ‘Trading Nymph’. do not believe anything. anywhere.
That would be mighty disappointing to thehusband.
Let’s not tell him.
________
lol
i’ve known the nymph for 5 years.trust me,it’s a she, and not a he.
“known” in the biblical sense?
Yes – well this is all basically my point. It will take awhile to pass the raise of the debt ceiling. Will likely get dragged out for sometime because of political differences. Until the debt ceiling is raised, no new money can be injected into the markets by the Fed nor can debt be bought…but I keep hearing all this talk of QE3 which would not be possible until the debt ceiling is raised. Meanwhile QE2 is winding down…so what does that say for the interum…a down market in my book. How can this market continue higher before we get a raise?
“Until the debt ceiling is raised, no new money can be injected into the markets by the Fed nor can debt be bought…but I keep hearing all this talk of QE3 which would not be possible until the debt ceiling is raised”
They can and will find ways to do whatever they want before, during or after the debt ceiling raise.
Money doesn’t grow on trees or in Bernanke’s office. That is illogical.
Take a look at the dates written in Real’s first post regarding the Nov ’95 – March ’96 shutdown. The S&P 500 was up nearly 10% in that same timeframe.
We can discuss specifics of that time frame but the main point is that we are talking about a cash injection into the markets. The market rose on its own in 95-96 without the Fed buying securities at that time. Most of that move happened in January to early February. The market was essentially flat from mid Nov to early January…and during February…then it took another leg down into March. Also, while the market was recovering from a recession, there was no POMO keeping the market afloat as there is now. My point is not that the market cannot go up but that there cannot be QE3 without lifting the debt limit.
Great post, I’m sure, but I can’t read anything that long…reminds me of high school.
RIP to the bullshitters that are late to the party.
hahaha
wow gold is getting taken out to the woodshed…wtf
Forget about the “debt”.
How about the $25 billion per MONTH interest payments we are on the hook for.
http://www.treasurydirect.gov/govt/reports/ir/ir_expense.htm
Those Chinese will soon own all of the G650’s and use them to go on shopping sprees in Vegas.
$25 Bil? It’s a nickel or a dime when you are going $1.4 Tril further into the hole every year. Just borrow that part too… like rolling your closing costs into the mortgage.
A retest of the 1250-1260 SPX level is probably the likely scenario.
I am not a bearshitter here. I just realize that we are in a probable summer correction that will probably last 8-12 weeks.
There are simply too many bullish money managers right now.
Silver is being used in the manufacture of 90% of solar panels. And, its being used in water filtration (anti-microbial) .
Unless the world is about to see a drastic increase in water and energy supplies, Silver has no upside limitations. All major dips will find support
http://www.silverinstitute.org/solar_energy.php
http://www.silverinstitute.org/water_purification.php
Yeah. Tell us more.
“Silver has no upside limitations”
HA HA. another genius. and you think Kodak is going to begin using silver in film again.
HA Ha, another moron. and you think Kodak wasn’t recycling silver even when it was cheap as shit. The bullish case for silver is sound as a pound of sterling.
were gettin googled,,lol
and GS is gettin called to the principals office
Maybe, it is God’s work with a twist.
lookin at mpaa.
Next week, next Thursday, mark my words (and assume your risk), the cowboys will range heard the bulls up the plains and into the mountains. There, the bears will scatter and claw at many critters and themselves. TLT retests $ 95 and goes to $ 98-$ 100 (as bond story becomes the rage – junk yields will be effected by primary dealers). Silver will return to new high before 2011 is out. As M. Fly timely reminds, caveat trader. Oh, with visions, why does one need eyes?