Jump to content


Photo

Oxymoronic


  • Please log in to reply
No replies to this topic

#1 Russ Winter

Russ Winter

    Grizzly Bear

  • Moderators
  • PipPipPip
  • 1,089 posts

Posted 06 June 2012 - 05:46 PM

It may seem like an oxymoron, but the market is in a constant state of over-trading within a thinned out, hallow structure. As I mentioned in my Sunday post, my sense was that the hedge funds had piled into S&P and Euro shorts.  This news item confirmed the obvious:

Wednesday, June 6, 10:08 AM Hedge funds have doubled their net shorts of the S&P 500 in the last three weeks, reports SocGen. They’re at record highs with euro shorts.

Thus we get the familiar brew of Wizard based rumor-mongering, real and imagined, combined with you guessed it, a short squeeze aka “risk on day”.  Squeezes tend to be brief, therefore I took my resource nimbles off and covered all my 5 year Treasury shorts, see comments. The pop looks especially bearish, because it looked effortless, and was centered around all the standard nonsense. It was sickening to watch even for me who was positioned to benefit some from it.Part and partial to hallowed out markets are incredibly swoons off of weaker guidance. There were several stunners even in Wednesday’s melt up.Men’s Wearhouse (MW): Q1 EPS of $0.53 misses by $0.01. Revenue of $536.7M (+1.1% Y/Y) misses by $56M. Shares-23% AH.Analysts at both KeyBank and Suntrust move off their Buy ratings on Tempur-Pedic (TPX -46.7%) after admitting they were blindsided by the company’s guidance bombshell.

View the full article




0 user(s) are reading this topic

0 members, 0 guests, 0 anonymous users





Stock market portfolio giving you the runs? See Dr. Stool.
The Daily Stool - Stock Market Message Board
Stool's Gold- Gold and Precious Metals Forum
Look Out Below Message Board

The Al E. Greenspeuman designer line at Stoolmart. Get yours today! Click here now!
Get Mugged!