Breadth closed in the low 60% range. If it weren’t for oil stocks up more than 7%, we would have rolled over today. Banks got smashed, namely TCBI, IBOC, FITB and a myriad of regional banks. To me, it looks like short sellers are starting to target banks who might have exposure to oil and gas loans. NO ONE WAS TALKING ABOUT THIS up until now.
Total exposure is upwards of $900 billion. You heard it here first and will continue to hear it from me.
I sold out of 1/6th of my SPY position this morning and have a schedule of sales lined up from now until 2/2–all detailed in the Exodus blog. If you haven’t signed up yet, take advantage of the fact that Jeff Macke is guest hosting it for the entire month of January and have a look at my drastically different investment philosophy, which is based solely around the predictive algos produced by the system.
In summary: today was a suckers rally and was not the bottom. Sell the rips. Reduce your exposure. Get long gov’t bonds. Brace for impact.
If you enjoy the content at iBankCoin, please follow us on Twitter
I shorted the duck out of $GS again today. The regional banks are obvious shorts, so I’m going after less obvious names like $GS and $C. One or more big banks will fail before we are done. Maybe it’s just $DB, but every bank stock will be hit regardless of who goes to zero.
Nice bounce +9 SPX.
feel like Basher in Oceans 11 holding my nads as I push the button on “the pinch”.
So funny seeing the media, or guy on street, wondering why it’s going down. Does no one have the concept of prices were too high, they are just normalizing, the definition of a bubble. Um like condo prices in 06? Same principle there you Twad
No way.
We rip higher tomorrow and rip higher on Monday.
There’s no reason for a sustainable rally until the fed acknowledges their lunacy. Suggesting they’ll take their foot off the quarterly rate yikes for now will suffice. We’ll see next week.
Rate yikes is the trut.
They aren’t lunatics. They see themselves as piercing a bubble they created. But unless they want stocks to go to zero, they are just going to have to stop their plan for more rate yikes any time soon.
Agree.
Hopefully everyone caught some rips, but couldn’t agree more.
lemmings
The Fed doesn’t even matter anymore. This goose is cooked. Rate hikes, QE, or whatever would just give shorts better prices to short on the slope of hope.
today was a snoozer …ZZzzzZZzZzzzzzzz
Where’s my morning 40point rally/sell-off
Shorts who are pressing at this point will be vaporized into clown dust. That is all.
You can’t say no one was talking about the regionals blowing up due to exposure until now. ZeroHedge was talking about that three months ago. That said, I virtually live for your evening/overnight content these days. Had a lot of meaningful conversations with colleagues over the past couple weeks that this is ABSOLUTELY your best work ever. Keep up the good work and thank you for your efforts. It hasn’t gone unnoticed.
Sincerely,
Piker Broker