DrStool Posted June 12, 2020 Report Share Posted June 12, 2020 Dicsucs Link to comment Share on other sites More sharing options...
jp6 Posted June 12, 2020 Report Share Posted June 12, 2020 Link to comment Share on other sites More sharing options...
DrStool Posted June 12, 2020 Author Report Share Posted June 12, 2020 Fed settled about $90 billion yesterday. Is QE Infinity Enough? 1 - LIQUIDITY TRADER JUNE 11, 2020 The Fed has now promised QE infinity. But will it be enough, in the face of Federal deficit financing to infinity and beyond? Because for every dollar the Fed has promised to print and pump through Primary Dealer accounts into the financial markets, the US government has promised to issue about $3 in new debt. $1 of financing for every $3 of new Federal debt is a whole new game of QE Lite that is unproven. Under earlier versions of QE, the Fed always printed QE dollar for dollar of Federal debt. The Fed monetized everything through its middlemen the Primary Dealers. Under Pandemonium Panic QE, back in March and April, the Fed actually pumped in $2 for every dollar of new Federal debt issuance. That drove a meltup in stock prices. Which in turn triggered a rebirth of animal spirits and wild speculation in a bubble within a depression, the likes of which we’ve never seen. So is this bubble sustainable when the Fed will only buy a third of the Mount Gargantua of new Federal debt issuance each month? I’ll just say, Harrumph! I highly doubt it. I explain why, herein. Subscribers, click here to download the report Not a subscriber yet? Get this report and access to all past and future reports risk free for 90 days! Link to comment Share on other sites More sharing options...
DrStool Posted June 12, 2020 Author Report Share Posted June 12, 2020 Same pattern as the May MBS settlement so far. The first day when the big money came in the market sold off. Link to comment Share on other sites More sharing options...
Jorma Posted June 12, 2020 Report Share Posted June 12, 2020 34 minutes ago, DrStool said: Fed settled about $90 billion yesterday. Is QE Infinity Enough? You have a mistake on the top of page 4. "it projected $2.68 billion in bill issuance for the whole second quarter" Link to comment Share on other sites More sharing options...
Jorma Posted June 12, 2020 Report Share Posted June 12, 2020 35 minutes ago, DrStool said: Same pattern as the May MBS settlement so far. The first day when the big money came in the market sold off. Funny thing that. Coincidence? Except today ZN is already headed down pretty hard. Link to comment Share on other sites More sharing options...
aussiebear Posted June 12, 2020 Report Share Posted June 12, 2020 2 hours ago, fxfox said: I didn't meant to say that "Asia leads" or so, but that you see in Nikkei that it is obviously part of a global concerted action of the FED, ECB and BoJ. That goes so far that it seems that they really fine tune that on a daily basis: Nikkei goes up in the morning, S&P will go up in the morning too. I do not mean the ES, that is clear that they go in lockstep, no, I mean that the S&P replicates in its cash trading session the intraday development of the Nikkei from that ones cash trading session 12 hours earlier. I think that could be a technical thing. You watch what happens when one country has a holiday. Say it's India: it will do what it would have normally done on that day once it opens again. So people will say something like "hey why is India going down today when every other market rose?" I disagree re global concerted action. I'm a technician. 😛 Link to comment Share on other sites More sharing options...
DrStool Posted June 12, 2020 Author Report Share Posted June 12, 2020 Above 3075 would break the downtrend channel. Link to comment Share on other sites More sharing options...
DrStool Posted June 12, 2020 Author Report Share Posted June 12, 2020 24 minutes ago, Jorma said: You have a mistake on the top of page 4. "it projected $2.68 billion in bill issuance for the whole second quarter" Ouch! Thanks for catching that. Link to comment Share on other sites More sharing options...
DrStool Posted June 12, 2020 Author Report Share Posted June 12, 2020 Should be trillion. I did it twice. Should read. How much more? The TBAC said that $84 billion in Treasury coupon paper (notes and bonds) will settle at the end of the month. It didn’t give details on short term paper issuance, but it projected $2.68 trillion in bill issuance for the whole second quarter. $2.25 trillion has already been issued or scheduled through June 16. Link to comment Share on other sites More sharing options...
jp6 Posted June 12, 2020 Report Share Posted June 12, 2020 Bankrupt Hertz wants to sell up to $1 billion in stock https://www.marketwatch.com/story/bankrupt-hertz-wants-to-sell-up-to-1-billion-in-stock-2020-06-12#:~:text=Bankrupt%20auto%20rental%20company%20Hertz,reported%2C%20citing%20the%20company's%20lawyers. Link to comment Share on other sites More sharing options...
specie Posted June 12, 2020 Report Share Posted June 12, 2020 sometimes the trees tell you much more than the forest. Yesterday intraday: MSFT new all time high of 195.76 finished at 186.27 on 53 MM shares down 5.37% on the day AAPL new all time high of 351.06 finished at 335.90 on 51 MM shares down 4.80% on the day TSLA new all time high of 1018.9 finished at 972.84 on 16 MM shares down 5.09% on the day NVDA, PYPL, AMZN etc etc etc...... IT IS ALL OVER Link to comment Share on other sites More sharing options...
specie Posted June 12, 2020 Report Share Posted June 12, 2020 i mean really, what more do you want? Link to comment Share on other sites More sharing options...
DrStool Posted June 12, 2020 Author Report Share Posted June 12, 2020 25 minutes ago, specie said: i mean really, what more do you want? The Nadsac. Link to comment Share on other sites More sharing options...
DrStool Posted June 12, 2020 Author Report Share Posted June 12, 2020 Speaks volumes. Link to comment Share on other sites More sharing options...
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