With my rebate check, I will go out and spend it on hoes and clothes.
After all, the stewards of our economy (politicians) want us to “go out and spend it as soon as possible,” due to severe economic distress. Fuck yeah, if I was some poor dude, living off of Rice Krispies, upon receiving my rebate check I’d go out and spend it on a new pair of sneakers or gold chain, instead of paying bills and shit.
That’s the American way, after all.
Thus far, today is a decent follow through day for the bulls. If your bias is to the downside, I suggest waiting for higher prices. The market has a feel and look of wanting to go higher.
With regards to Societe Generale, I love how some low-end trader had access to so much capital, enabling that stupid French bank to lose 7 billion plus.
Ducati makes a good point on the matter.
If the futures knifed lower due to SocGen unwinding contracts, causing world markets to plummet, our Federal Reserve did an emergency rate cut (only) to stop the correction of equity prices. Essentially, that low-end trader, who fucked up unroyally, is responsible for Bernanke cutting rates.
Truly a fucktarded sidenote in his prestigious career.
NOTE: Two things: I suspect there are many more losses to be revealed at SocGen. And, the proposed bailout of [[MBI]] and [[ABK]] is a loser.
NOTE II: If the rogue trader theory is true, the Fed will not cut rates next week. No?
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I agree … I don’t think the fed will cut next week, rogue trader theory true or not.
MSFT after the bell today. If they can get the tape higher AH & in the morning, that may be worth a shot on the unamerican side going into next week.
I cut the rate because I was tired of Cramer calling me a poopy-head. I’ve got feelings, too.
About next week…yeah, I’m gonna cut the rates. Don’t you idiots look at bond yields, or are you all just numbnut day-traders?
NO way it was 1 guy. They announced it as “a single trader”. Patsy. Laundering Afghan opium money…
Stay tuned…
Further losses in SocGen or other financial institutions in general are not going to have the same negative effect on the market as they did over the last few weeks and months. There is a general feeling among market participants that everyone will get bailed out one way or the other. Just a thought …..
Cap:
Good point.
Everyone gets bailed out. All we have to do is print more money and send it to them.
I wonder if all this bailout talk is what’s causing gold to spike?
I secretly want to raise rates because I want a strong dollar for my next trip to Amsterdam. Hoes and blow ain’t cheap over there.
Fly,
I like your analysis… if the “rogue trader” theory is true, they won’t cut.
Really, they should raise!
Anyway… huge buy imbalances. Where’s Maria?
-DT
Yeah, Good point Fly. And they thought there were no bubbles left to blow. Bernanke will blow the gold/silver bubble. The last bubble. Good things come in threes.
Tech bubble
housing bubble
gold bubble
This is Juju bear speaking:
No rate cut next week because of market optimism this week and into the next. Market then goes down again. Waiting patiently for an entry on SKF.
Futures are already pricing in a 100% chance of 50 bps next week. Anything less than 75 bps and down we go.
I would prob be chasing this Rally, but thanks to The Bear Fly I am slowly moving to cash. I would woo-woo but it’s not allowed here :/
The recession was caused by a rogue trader overseas and is now fixed, it is time to put cash back to work in equities.
Buyers looking at YHOO.
Rogue trader? There’s never just one cockroach.
Patsy – Rogue Trader is “Lee Harvey Oswald Jr.”
Jan. 24 (Bloomberg) — Sales of existing homes in the U.S. fell more than forecast in December, capping the biggest annual slump in 25 years and the first decline in prices since the Great Depression.
Sales of existing homes reflect contract closings, which typically come a month or two later.
(i.e. existing home sales is a lagging indicator. Dec figures represent what happened in Oct., not what’s going on today.)
Twas 7 billion plus Europhags.
That’s like 10.5 billion dead Presidents and Treasury Secretaries.
I wonder if all this bailout talk is what’s causing gold to spike?
________________________
Are you kidding? The printing presses are white hot as it is, with the 75 beep cut.
The only thing threatening the strength of my prodigious AU and AG hordes right now is a complete meltdown, which might temporarily limit the amount of wheelbarrow paper being issued.
Juniper Networks Inc. saw earnings jump 73% in the fourth quarter amid a strong increase in sales. Nice economic slowdown eyh.
let’s see here…..before monday’s liquidation, the mkt was expecting 50-75 bps cut. global markets tanked on monday due to a rogue trader that the PPT was unaware of at the time. the PPT basically cut rates on monday by the same amount they intended to cut on jan 31. now the PPT realizes that they were fooled by some rogue trader, the ECB is more focused on inflation than cutting rates, MSFT and other companies are reporting positive outlooks, jobless claims were better than expected, the stock mkt is rallying, and last time i checked, fed futures were 100% priced for 50 bps. me thinks the PPT feels pretty stupid and wants the mkt to know they are an unpredictable bunch. therefore, i believe they’ll cut 25 which will still spark the next leg down.
seriously, nothing changed since friday when the expectation was for a 50-75 bp cut, except that market sentiment has improved and the stock mkt is higher.
i plan to wait until next week to set up a medium-sized short position in some stock indexes. if you don’t have confidence in the trade, hedge by going long utilities and healthcare. or do nothing and tell me how fuking right i was next friday.