also keep note with this huge gigantic skyrocketing rally the transports are barely moving... IYT is up 0.77% to $150.38 ...Cant even move up more than 1% on a day like today where the dow is up 250+ points.....hmmmmm
The overnight float higher, starts at 5:00pm CST. It's almost criminal how Bloomberg keeps putting out flase press releases about a greek deal. Know on does a thing. No wonder Michael Bloomberg is so rich. Take a position in the markets, then have you news company put out a false press release. Man it's like printing your own money. They should investigate this company IMO.
Why does the FOMC Hold there rate decision meetings on the month and week of stock index futures expiration. Look it up March,June,September,December. They hold there meetings days before contract expiration. And it's pretty predictable what happens....RALLY 99% OF THE TIME. http://www.federalreserve.gov/monetarypolicy/fomccalendars.htm
This is a very predictable pattern in weeks of FOMC and contract expiration of March,June,September,December.
I know this is worthless news to most people on here but it has to be looked at because it seems on a week to week basis nearly every central bank is cutting rates, I do think the next crisis will bring rates across the world down to 0% just like it is here in the US.... What I don't understand is how come markets across the world continue to break records and are in a non stop bull market yet central banks keep cutting interest rates Korea stock market is up 7%+ for the year.... BOK cuts interest rate to 1.5% Christine Seib 2 Mins AgoCNBC.com
I guess this is like hearing the bulls call for dow 20,000 or is it 30,000.....at this point a 4,000 point drop wouldn't be much, if anything it will be a dip and just another buying opportunity before it skyrockets on QE 4, QE 5 and QE 6....I wouldn't worry, a 4000 point drop after a massive 200% 6 year+ old bull market is nothing, just sell and wait for the drop and get back in, rinse and repeat....the fed will have your back but this time though they might have to introduce negative interest rates, its all about the asset bubbles when it comes to the fed and they will create another asset bubble just like the one were in now to get out of any collapse the markets may approach along the way..... Opinion: Get ready for a 4,000-point Dow drop Published: June 10, 2015 6:01 a.m. ET Slumping bond market is ominous for U.S. stocks Shutterstock.com By MARKD. COOK The stock market has an empirical rule: interest rates lead stocks. And the current interest rate environment is pointing to a massive decline for the U.S. market. Consider: The Federal Reserve has taken rates to the lowest level in more than a generation. This has energized stock prices. The Fed has persisted in its directive to “stay the course,” having made no raises in the discount rate for more than seven years. Such monetary policy has no precedent; this is the longest stretch of accommodation by the Fed in the post-World War II era. But there’s Fed-induced rates, and “actual” rates. The most widely followed Treasury markets are the longer-term 10-year TMUBMUSD10Y, -0.17% and 30-year TMUBMUSD30Y, -0.04% markets. These two markets are highly sensitive to longer-term actual interest-rate pressures. For example, banks use longer-term Treasurys to make decisions on pegging personal loan rates to clients for mortgages, businesses, and other uses. The commercial and industrial areas of the economy also are susceptible to the actual cost of money. Are there parallels to this current market environment? Yes — 1987. The summer that year began with a slow, methodical rise in actual rates. Yet the Fed did not raise the discount rate, even though actual rates suggested otherwise. The fall of 1987 arrived with the stock market having hit an all-time high in late August, unfazed by this unsettled condition. As it happened, the Federal Reserve was literally forced to raise interest rates. Policymakers were behind the curve severely, just as the Fed is now. The 1987 rising-rate action caused stock prices to tumble more than 30% within two months, including a sharp 20% selloff in October — still among the Dow Jones Industrial Average’s DJIA, +1.33% worst one-day percentage declines ever. These warning signs are again visible. The first week of June recorded the highest interest rates since December. Bond prices are down about 12% since the end of January. The stock market, meanwhile, follows the bond market’s direction — except by a much wider margin. A multiple of 2.0 is conservative. A 2x multiplier figured against the recent 12% plus loss in bonds prices would generate a 24% decline in stock prices. At current levels, such a slide would equate to a loss of about 500 points on the S&P 500 SPX, +1.20% and a Dow pullback of close to 4,300 points. So pay attention to rising actual rates. The “actual” bond market is already into a bear market, with declining tops and lower lows since the end of January. The stock market is vulnerable here. The first week of June saw interest rates spike, with bond prices losing 2.5% of their value. This is comparable to around a 7 1/2% loss in stock prices in one week. The pressures are increasing exponentially since the decline in bond prices has not resulted in a stock market slide. And the greater the pressure, the greater and quicker will be the downward move. Mark D. Cook (www.markdcook.com) runs The Mark D. Cook Advisory Service for investors and traders. Contact him at cooktrading@yahoo.com. He is the coauthor with Michael Sincere of Prepare Now and Survive the Coming Bear Market http://www.marketwatch.com/story/get-ready-for-a-4000-point-dow-drop-2015-06-10?siteid=yhoof2