iBankCoin

It’s Not Over

0bama wants to raise taxes so that we can spend it on bridges and tunnels. Unfortunately, said bridges will likely be MADE IN CHINA. That’s right. This country is so fucked we’re actually outsourcing the production of our bridges to China, because of their slave labor. So what exactly are we doing?

Answer: importing slave labor.

I sold out of the majority of my stocks this afternoon because I genuinely feel we are at the precipice of a crash. The upside moves in TLT and UUP, coupled with the outright liquidations in commodity, tech and financial related names, has me thinking something very ominous is looming. Having said that, I left 30% of my assets long in the event we knee-jerk higher on policy announcements. Make no mistake, policy makers will announce something and soon. They cannot just let the ship sail into the sunset without trying to sink it first.

The reasons for selling was very simple and concise. I was down 4% intra-day and up 4% for the year. I cannot ignore such mathematical coincidences. I took it as a sign from the Gods and left the table a winner. When we do rally, I will be prepared to toss cash into the market like brokers throwing themselves into lit fireplaces tonight.

Everything is collapsing because cash calls reign supreme.

Coming soon: major EPS cuts, French bank rumors, Euro-Libor concerns, Italian 10yr bond concerns, US spending bill impasse, Rumors swirling around US investment banks and custodians, major hedge funds liquidating, and significant downside revisions in US GDP forecasts. The upside? Possible inflationary policy response aka “nothing new or special.”

For me, the choice was simple. My only regret is not selling yesterday.

[youtube:http://www.youtube.com/watch?v=WDUhTGXjEuk 603 500] If you enjoy the content at iBankCoin, please follow us on Twitter

94 comments

  1. The Zombie

    The Fly is God.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  2. MOOBER

    No regrets. No looking back. Live to fight another day.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
    • ALLPROZ

      FLY, your video was actually inspiring that this country can and will muster through just about anything (barring nuclear fallout, bird fly/viral zombies)…maybe even N0bama, Barney, Benster and friends.

      • 0
      • 0
      • 0 Deem this to be "Fake News"
  3. Murderhole Explorer
    Murderhole Explorer

    policy makers will announce what? Operation twist just came out… and we loved it.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  4. SkyTrader

    I hope you are wrong. I haven’t sold yet.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  5. Mr. Cain Thaler

    I wonder how high treasuries will get before people realize a second recession will jacknife the U.S. budget and cause us to hit the debt ceiling again?

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  6. Goose

    …and my daughter’s 2 year molars have yet to erupt.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  7. Trading_Nymph

    Hey Little US Dollar, do you want to hit the Clam on the head again with his own Spine? My arm is getting sore doing it. The Nymph and the US Dollar, we are such a good team..

    • 0
    • 0
    • 0 Deem this to be "Fake News"
    • Testicules

      Hope you check back on this….
      Ok, over night we saw a huge leap in U.S. $
      BUT,
      slowly it retreated from overnight highs
      AND
      the markets got worse…the dollar got smaller, Pull up the DXY

      (I’m trading us/cad)<—oil fell …CAD takes back some ground <–contrary

      makes me think we could be just seeing another "spoiled rich brat" sell-off spitting in BB's beard

      • 0
      • 0
      • 0 Deem this to be "Fake News"
  8. tm

    If you finished the year up 4%, and the market continues its ways, your clients will give you extra large fruitcakes filled with gold bricks as X-Mas gifts.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  9. PositvePsych

    What the fuck is this?

    We’re paying the Chinese to build US bridges with US tax dollars?

    You gotta be fucking kidding me.

    That Bush-Obama link is fucked up…

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  10. Driven

    Great video. In good times and bad, America has been insanely beautiful.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  11. piker

    The Fly is a loser! Today anyway. Pikers!

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  12. Juiceyfruit

    something very obvious already happened, boss

    which don’t mean something very ominous part deux can’t happen

    but if one is riding shit down, one must shit and get off the pot, lest he blow chunks at the most inopportune time

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  13. Hugh Hendry

    Today’s canary in the coal mine: FCX

    • 0
    • 0
    • 0 Deem this to be "Fake News"
    • checklist

      tck and fcx … and copper, are still at or above 2010 summer levels. the raw power of the move down here is frightening, however.

      • 0
      • 0
      • 0 Deem this to be "Fake News"
  14. alf44

    So … let’s recap shall we ?

    .

    I SOLD ~ 45% of my TYP position … TAKING partial PROFITS on my “SHORT” (~ +6% profit) !

    .

    —

    I am NOW Currently :

    ~ 50% SHORT (via TYP avg. 21.50ish)

    ~ 50% CASH

    —

    I will continue to HOLD my remaining TYP “Short” shares for a bit longer !

    I will also look to git my “weekend hedge” back on tomorrow !

    We shall see !

    .

    • 0
    • 0
    • 0 Deem this to be "Fake News"
    • Mad_Scientist

      I call BS. Your type cost basis was much higher and u know it.

      • 0
      • 0
      • 0 Deem this to be "Fake News"
      • alf44

        Actually … my PRECISE avg. share price is $21.49 (ie. “$21.50ish”) !!!

        —

        Not exactly sure wtf you’re talkin’ about !

        Go back and read the posts … they’re all there !

        Then … when you get done readin’ em … come back here and apologize to me !

        .

        • 0
        • 0
        • 0 Deem this to be "Fake News"
      • alf44

        Since you are obviously “reading impaired” … I’m gonna make this easy for you !

        —

        Let’s take a trip down memory lane … shall we …

        .

        * from Fly’s “Tech Best Bet” blog I posted …

        alf44 says:
        September 14, 2011 at 10:51 am

        So … let’s recap shall we ?
        .
        This morning I took 80% of my FAS LONG off (~ +3% profit) !
        I have added significantly to my existing TYP “SHORT” (ie. averaged DOWN) !
        .
        Now NET SHORT …with a bit of a LONG “hedge” !
        —
        I am NOW Currently :
        ~ 54% SHORT (via TYP avg. $22.60)
        ~ 10% LONG (via FAS “hedge” avg. $12.19)
        ~ 36% CASH
        —–
        We shall see !
        .

        * from Fly’s “Behold: An In Your Face Rally” blog later that day I posted …

        alf44 says:
        September 14, 2011 at 2:50 pm

        So … let’s recap shall we ?
        .
        I have added a bit more to my existing TYP “SHORT” (ie. averaged DOWN) !
        .
        NET SHORT …with a bit of a LONG “hedge” !
        —
        I am NOW Currently :
        ~ 60% SHORT (via TYP avg. $22.39)
        ~ 10% LONG (via FAS “hedge” avg. $12.19)
        ~ 30% CASH
        —–
        Actually UP +7% on my remaining FAS “hedge” ! fwiw
        We shall see how this plays out !

        —

        * from Fly’s “Expect Headfakes” blog the next day I posted …

        alf44 says:
        September 15, 2011 at 11:01 am
        .
        SOLD my FAS “hedge” (+9% profit)!!! fwiw

        .

        … moments later … SAME blog I posted …

        alf44 says:
        September 15, 2011 at 11:04 am

        So … let’s recap shall we ?
        .
        I have now SOLD my FAS “hedge” (+9% profit)
        NOW VERY SHORT !!!
        —
        I am NOW Currently :

        ~ 80% SHORT (via TYP avg. $22ish)
        ~ 20% CASH
        —–
        We shall see !

        —

        * from Fly’s “Get In The Guillotine” blog Monday … I posted …

        alf44 says:
        September 20, 2011 at 11:46 am

        So … let’s recap shall we ?
        .
        Today so far … I have added AGAIN (ie. averaged down) to my SHORT !
        .
        THIS is some bullshit ! IMO
        —
        I am NOW Currently :
        effectively “All In” SHORT (via TYP avg. 21.50ish)
        —
        Pretty much now out of “bullets” !
        I will continue to “hunker down” here and ride this out for a bit longer !
        We shall see !

        ———–

        You owe me an apology, douchebag !!!

        .

        • 0
        • 0
        • 0 Deem this to be "Fake News"
  15. Kyle Gorinson

    Think we’ll see more downside tomorrow?

    Reason I’m asking is that if the VIX touches 45.50, I break even for the year, which I’m really hoping for…

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  16. Mr. President

    You really pulling $ out of the bank, Le Fly?

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  17. Spooky

    I think the risks are something like this at the moment:

    http://www.businessweek.com/magazine/content/11_18/b4226012481756.htm

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  18. CapitalObserver

    Barton Biggs turned bearish today on CNBC. You are in bad company Mr. Fly.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  19. Mr. President

    What’s the action like inside your RICK RAWSS account?

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  20. KarmaPolice

    Well first.

    The bridge information needs some detail. Sections of the SF Bay bridge were built in China only because they have the capabilities at hand. US-based steel companies did not have the capacity for such enormous structures.

    It has nothing to do with outsourcing labor.

    The same thing goes for public transit/high speed rail. They will all be purchased internationally. Why? Because Americans insist on driving car.

    The reason the US is the number one supplier of military weaponry is because its the only industry that Americans are willing to support.

    You reap what you sow.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
    • Mr. Cain Thaler

      I look forward to riding Chinese rail, then…

      • 0
      • 0
      • 0 Deem this to be "Fake News"
      • KarmaPolice

        And Chinese it will be. Heaven forbid should it be German/French/Japanese.

        Cheapo Depot Americans would never want to spend “their” taxes on anything good.

        Oh, except useless, 130 million dollar F-35s

        • 0
        • 0
        • 0 Deem this to be "Fake News"
        • JakeGint

          Not so useless when they are protecting your ungrateful ass.

          And rail is a 19th century anachronism. It’s reasonably useful for transporting goods, but ridiculous for transporting people in any efficient manner in the States.

          Fuggin’ libs… sheesh.

          ______________

          • 0
          • 0
          • 0 Deem this to be "Fake News"
    • Dave

      “because Americans insist on driving car” is also why we still have an automobile industry here.. America is far to spread out, and suburban life style for high speed rail/train to ever be cost effective. Just ask Amtrak how those profits are coming..

      American steel companies cant compete because Chinese steel gets low cost loans, low cost land, low cost energy, and debt forgiveness from the Chinese government. Then with the massive amount of shit they do make they practice what is known as dumping the exports on us.. not to mention our governments refusal to impose tarriffs on that shit. Its US Steel vs China Steel/Government.

      We are reaping what our Government sows

      Get off your commie bandwagon!

      • 0
      • 0
      • 0 Deem this to be "Fake News"
      • inandout

        If I lived in San Francisco and had to commute over that thing often I wouldn’t be too happy. The middle is probably hollow or filled with rice and the concrete slowly releases poison gases when hot (sort of like their plastic found in flatscreens).

        • 0
        • 0
        • 0 Deem this to be "Fake News"
  21. razorsedge

    and yet, still NAT GAS could save america.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  22. razorsedge

    look at the news today on CLNE.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  23. TraderCaddy

    There will be an announcement out of Europe re their banks tomorrow AM.
    I know this because I bought a little EWG (Germany etf) and then put in an AH Limit Sell order 1.5% above the closing price.
    I took a snooze and then heard a “bing.”
    It was sold.
    Insiders know something.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  24. Cheesefries

    Doug Kass will be calling a bottom every day until we actually bottom.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  25. dumas

    is there a hidden meaning in why “the fly” used a “0” (zero) instead of an “O” when spelling 0bama?

    interesting people want to know.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
    • TraderCaddy

      He thinks highly of 0bama- POTUS 0.
      Also, 0hi0, apparently.
      He must have been sideswiped by a buggy driven by Mennonites in 0hi0 once.

      • 0
      • 0
      • 0 Deem this to be "Fake News"
      • dodd

        ZERO is what he has done for us. In fact, if this type of job growth continues to be negative, people might even start holding up “bring back bush” signs, when things only “kind of” sucked as opposed to complete and utter misery.

        • 0
        • 0
        • 0 Deem this to be "Fake News"
  26. Yabollox

    We can have the Chinese work for half price, give EBT cards to Americans to do nothing and come out ahead.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  27. TraderCaddy

    Nice video and depression style music.
    The Flatiron building area in Manhattan looks the same except now there is a Whole Foods nearby.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  28. goldie

    My only regret is not selling Tuesday when I was up.. I liquidated yesterday though.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  29. George

    Okay, so dollars are more valuable, right? That means the US can purchase even more stuff overseas, and being that is a very large part of the US’s business plan, you would think in the long run, that will allow companies to borrow for cheaper, and get more from what they borrow, and convert it into income. that by that time, probably will be more dollars, as by that time they are probably able to adjust prices upwards due to inflation. For long term value Buffett type investors, this has to look bullish, right? I mean, they are licking their chops waiting for people to go “dollar is worth more therefore stocks should be cheaper, and price them drastically lower so they can step in, right?

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  30. chivo

    can you link the source on china building bridges stuff?

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  31. Dave

    I will be prepared to toss cash into the market like brokers throwing themselves into lit fireplaces tonight.You forgot add “after they have poured gasoline on themselves”

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  32. chivo

    yeah i just realized that… this isn’t anything new, nor does obama deal with this kinda stuff… america has obtained it’s steel products and other shit like that from outsourced labor for a long time…and obama doesn’t deal with this kinda stuff, rather he is the president, worrying about much larger headlines…

    that said, those who would argue for MORE regulation (like the friend i am texting with now) in order to force corporations hand, are treating the EFFECT rather than the CAUSE. we have to realize WHY corporations outsource labor, and that is because it’s so expensive thanks to too much government regulation. if government regulation leaves the equation, labor in america becmoes much more competitive and corps have no incentive to oursource. more regulation will just end up with a huge complex maze of rules that corps attempt to figure out and cheat there way through. less regulation ftw.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  33. TraderCaddy

    And long the lines of a Depression here is a video called Depression Cooking with Clara.
    She shows you how to make pasta with peas.

    http://youtu.be/DuMkW35BwK8

    • 0
    • 0
    • 0 Deem this to be "Fake News"
    • drummerboy

      the old lady does that ,she says it’s her “sicilian dish”. i dont like my peas with pasta.it’s nasty

      • 0
      • 0
      • 0 Deem this to be "Fake News"
    • The Plumbers Crack
      The Plumbers Crack

      LOL
      Thanks, I needed that!

      • 0
      • 0
      • 0 Deem this to be "Fake News"
    • Yogi & Boo Boo

      I’ve seen her before. She cuts things the same way Grandma used to. It must be a Depression Era thing. Use your thumb as a cutting board, then you only have to wash your hands and save the soap and hot water you would have used to wash the cutting board.

      • 0
      • 0
      • 0 Deem this to be "Fake News"
  34. Hermes

    Love how Republicans repeat taking points about free trade and open markets but when it gets executed they bitch about shit not being made in America… Which is it?

    • 0
    • 0
    • 0 Deem this to be "Fake News"
    • Yogi & Boo Boo

      There is NO free trade with China as long as they have their currency pegged to the US Dollar. Anyone who says otherwise is a liar. Just to be clear, there are a lot of Free Trade Liars in this country.

      • 0
      • 0
      • 0 Deem this to be "Fake News"
  35. TheArtist

    for “great depression music” that was pretty snappy. It sounds like this depression stuff is right down my alley, cute girls, dancing, drinks, bright lights, what’s to not like…

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  36. razorsedge

    jimmy carter called obama today and thanked him.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  37. Raise taxes, Cut spending
    Raise taxes, Cut spending

    There is so much fear around it feels like a time to buy.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  38. The Non-Panicked View
    The Non-Panicked View

    The DAX is down 30% in 2 months.

    I don’t see them rioting in the streets or making a run on their banks for cash.

    Only traders know how to panic.

    The buying opportunity of a lifetime will be here by Tuesday.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  39. The Non-Panicked View
    The Non-Panicked View

    And BTW, the Qs are UP 8% from where they were six weeks ago…no panic.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  40. The Fly

    Not even close. We’re hardly down.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  41. Yogi & Boo Boo

    The afterhours gains/losses in $TNA/$TZA are slowly evaporating. I hope I get a bit of sleep tonight before the open tomorrow. Wait… WHo needs sleep.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  42. The Non-Panicked View
    The Non-Panicked View

    FLY – Hows your personal account doing? The one that you took from $100k to $1MM.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  43. jose mann

    I want to take my account from 100,000 to 1,000,000 !!!

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  44. Colonel von Ryan

    America, back when men were men, women were straight and chrome was thick…

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  45. AlphaBetaBanjo

    Pipers till the end….We trade on

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  46. Kandu

    G20 coming around to support banks and future up close to 90+ points. Are we going to see relief rally !! I did not sell anything and am afraid if i sell now will miss upturn.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  47. Spy007

    All hail china you dumb ass Americans you are our bitches now we own everything.

    God bless free trade

    • 0
    • 0
    • 0 Deem this to be "Fake News"