Skip to comments.This Market Looks Like A Buying Panic
Posted on 09/06/2012 10:03:30 AM PDT by blam
This Market Looks Like A Buying Panic
Julia La Roche
Sep. 6, 2012, 11:51 AM
Stocks surged Thursday morning, with the S&P 500 hitting its highest level since 2008, following a slew of good jobs reports and the European Central Bank press conference led by Mario Draghi.
A trader, who prefers anonymity, offers a plausible explanation as to why the market might be rallying.
"We've had some data, which superficially appears to show some strength. There are a lot of shorts built into this market heading into ECB and they have been forced to cover on the back of ECB putting in place enough stuff which takes out systemic risk and what you get is an allocation to U.S. equities."
Or in simpler terms...
"There were a number of people who had a particularly negative outlook on the market. When they were wrong, as confirmed by better-than-expected economic data and an ECB which is taking action to help the eurozone economy, those people had to take off their negative bets as a result it created buying pressure in the market and that's why we are rallying."
So this might be panic buying, meaning those people who placed negative bets and those who aren't in the market rush to get in.
(Excerpt) Read more at businessinsider.com ...
Gee, what do you suppose could be the reason for this? Heh heh.
The PPT is working overtime.
I don’t believe that the market is connected to reality anymore. Just hocus pocus from the man behind the curtain. Money is still being made and lost, “but it’s a dream world, Neo”.
The job number coming out tomorrow will be purely political. It will have no contact with reality.
Now’s the time to cash out on IRA’s, before they evaporate into thin air. This is going to happen.
Or maybe Bernake just kept it to himself that QE3 is up and running. That sounds more likely to me.
The affirmation of H0pe & Change I betcha!
No, this market looks like it is being manipulated to influence the sheep in conjunction with Obama's convention appearance.
Because 0bama needs to justify his ‘THE STOCKET MARKET IS UP!’ comment tonight? The stock is no longer a barometer for how well our economy is doing. 0bama has proven that.
Who in the world would trust these Wall St. geese with their money when they gamble on the rumor that Obama’s Labor Dept. will have good job numbers tomorrow. Any idiot knew that they’d be padding the report in time for the election, and it has absolutely nothing to do with reality.
Of course, the brokers are paid per transaction, so they don’t care if you lose money or make money. As long as they get their commission, they are happy.
If O wins, we'll start hearing about special "one time" Patriot Taxes on those rich people that have large amounts of money (>250K) in IRAs and 401Ks. The federal debt is so large that it is inevitable they will go for the largest chunk of assets that is not in their hands.
Why is gold up 75 dollars in a week if the economies working so well?
Watch for it...
The BLS will present numbers tomorrow in the high 200s, with the unemployment rate "dropping" to 8.1% There's an election in two months, the big boss is in trouble, and it's time to have his back, credibility be damned. And who's in a position to actually question whatever tripe they throw at us?
Treasury printing presses stuck on overdrive world wide
Funny you mention that. Gold has been knocking on $1700.00’s door for DAYS.. Then Clinton speaks and it goes past $1700.00!
October surprise in September.....and tomorrow the jobless report for August posted by the government. Bam’s folks working OT.
Measure the market is a fools game. The market is a joke and if you want better odds, go to Vegas.
The market traditionally looks out 6 months forward. That will be a Romney presidency and a Republican sweep of Congress. This is pure reality.
The last buying panic occurred in 1982. That one turned out pretty well, since it started with the Dow under 800.