Market Soapbox 08/16/07
THU, licking the toad again, DJIA -16 on much higher volume with fugly internals. All UP cept DJTA, NDX, NAZ, SOXX, XAU, XOI.
Bonds up BIG 10 yr yield -8bps 4.63, $ down BIG vs 113.43y & up vs 1.3410E, gold down -3% $658, WTI crude down -3% $71
2 weeks ago: "this market goes nowhere until Yen $ crossover gets back to 120+"
Today, Yen largest gain vs $ since 1998 +3.1% under 113.5 as the carry trade unwinds.
Speculative leverage unwinding... despite crude plunging DJTA down, commodities & XAU got facials; high anxiety... VIX 37.5 intraday.
Yesterday: "PUTS getting rewarded, negative housing news will kick this market down even harder. SP500 1395 & 1375 is in clear view."
Can't touch this.. Today, $17B in Fed reanimation. Mr. Toads Wild Ride continues; Oh say can you see 1375?
SP500 open 1406, plunging 36 to 1370, (07 low 1363.98) then bouncing 45 to 1415, bled to close 1411.
A healthy thing? perhaps. The 4 year streak is over and its a CORRECTION as all major indices have now taken a +10% high to low ride. Anyone smiling?
3 month note below 4%; 10 year bonds at their highest price since May. Here's the catch of the day:
What does a 10% drop in asset value do? To anyone leveraged at 10X or greater, hit it Brian ...Heheheheheheee wipe oooout!
This is the end, my friend? A bottom? Watch 1400 & 1370 support levels closely for clues.
Going out on a limb, with AUG PUTS done, perhaps a "bargain" hunters updraft to 1422 or even 1435-40 by Tues?
Then "oops theres goes another rubber tree credit market land mine" and POOF its another large fall down the steps to the 1325-20 area?
Often wrong, but never in doubt, this is the Nattering Naybob and you're not!
Bonds up BIG 10 yr yield -8bps 4.63, $ down BIG vs 113.43y & up vs 1.3410E, gold down -3% $658, WTI crude down -3% $71
2 weeks ago: "this market goes nowhere until Yen $ crossover gets back to 120+"
Today, Yen largest gain vs $ since 1998 +3.1% under 113.5 as the carry trade unwinds.
Speculative leverage unwinding... despite crude plunging DJTA down, commodities & XAU got facials; high anxiety... VIX 37.5 intraday.
Yesterday: "PUTS getting rewarded, negative housing news will kick this market down even harder. SP500 1395 & 1375 is in clear view."
Can't touch this.. Today, $17B in Fed reanimation. Mr. Toads Wild Ride continues; Oh say can you see 1375?
SP500 open 1406, plunging 36 to 1370, (07 low 1363.98) then bouncing 45 to 1415, bled to close 1411.
A healthy thing? perhaps. The 4 year streak is over and its a CORRECTION as all major indices have now taken a +10% high to low ride. Anyone smiling?
3 month note below 4%; 10 year bonds at their highest price since May. Here's the catch of the day:
What does a 10% drop in asset value do? To anyone leveraged at 10X or greater, hit it Brian ...Heheheheheheee wipe oooout!
This is the end, my friend? A bottom? Watch 1400 & 1370 support levels closely for clues.
Going out on a limb, with AUG PUTS done, perhaps a "bargain" hunters updraft to 1422 or even 1435-40 by Tues?
Then "oops theres goes another rubber tree credit market land mine" and POOF its another large fall down the steps to the 1325-20 area?
Often wrong, but never in doubt, this is the Nattering Naybob and you're not!
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