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The post-FOMC slide looks set to continue at the open with S&P 500 (SPY) futures -0.9% and...

The post-FOMC slide looks set to continue at the open with S&P 500 (SPY) futures -0.9% and Nasdaq 100 (QQQ) -1%. Markets around the globe all closed sharply in the red overnight and Europe is off more than 2%. There's no flight to fixed income either, with the 10-year Treasury yield continuing to fly higher, now at 2.43%. TLT -1.9%, TBT +4.6% premarket.
Comments (23)
  • In the last 50 years there have only 2 years without a 5% correction...1964 and 1995...5% correction would take the S&P 500 to 1585....




    Nominal GDP growth yoy is 3.4%
    20 Jun 2013, 07:31 AM Reply Like
  • 08 was not a GDP crisis anymore than the next one will be. 13 GDP growth will come in same or lower than 12 whose GDP was lower than 11 which was lower than 10.
    20 Jun 2013, 07:53 AM Reply Like
  • BBro: This will be more than a 5% correction. Interest rates are going above 20% again, like they did in the 1980's under Volcker. This will crash stocks, bonds, housing and commodities.
    20 Jun 2013, 08:15 AM Reply Like
  • MC:


    Yeah, sure. I guess they're headed there to crush that raging inflation that's currently out of control.
    20 Jun 2013, 08:27 AM Reply Like
  • 20% rates? That makes me lol.
    20 Jun 2013, 08:35 AM Reply Like
  • Isn't he a known gold bug? Anyhow, deflation is the enemy right now. You have high debt - the world has - inflation is ok.
    20 Jun 2013, 08:42 AM Reply Like
  • Michael, you and I have spoken extensively regarding the looming deflationary spiral that lies ahead. If that is to come, why would interest rates go up? If deflation hits, wouldn't bonds benefit immensely?
    20 Jun 2013, 10:01 AM Reply Like
  • bbro


    Good morning; please don't use the word correction..most people are not used to hear the word after being spoiled with everything going up...I am not worried with market going down but the 10 yr T up toward 2.5% is more worrisome since rates tied up to interest rate swaps in the trillions and trillions of derivatives
    20 Jun 2013, 07:45 AM Reply Like
  • I suspect we might not even get 5% - this is not a panic or anything like this, just very systematic profit taking. Just in GLD/SLV there seems to be panic setting in. Glad I shorted NUGT.
    20 Jun 2013, 07:46 AM Reply Like
  • gold, stocks and bonds all traveling in same direction
    20 Jun 2013, 07:50 AM Reply Like
  • 1234


    talking about perfect timing with gold, stocks, and bonds going down right now and the $$ up my book when it keeps happening again and again, I smell a dead fish...anyway by the afternoon, the usual steroid uplift will take place
    20 Jun 2013, 09:15 AM Reply Like
  • Last time everyone was talking about the Doomsday S&P500 went 3% up and the Dow went up 3% also.I hope you guys are ''right'' once again. :)
    20 Jun 2013, 08:31 AM Reply Like
  • @Gosho,
    Agree with you, this reminds me the FISCAL CLIFF big headings in the doom and gloom articles.
    20 Jun 2013, 09:13 AM Reply Like
  • I'm not worried. CNBC is rolling out the experts to explain everything. They're telling me to buy equities. This is very bullish. I'm going all in as soon as we get bbro's correction. Then, I'm going to take my profits and lend them to MC at 20%. Any buyers for my gold?
    20 Jun 2013, 09:12 AM Reply Like
  • No thanks for the proposal to buy gold, I sold it 9 months ago per this signal:
    In my opinion it is a good day to by the dips on the stock market
    20 Jun 2013, 09:35 AM Reply Like
  • Is a sale price in equities about to begin -- finally?
    20 Jun 2013, 09:27 AM Reply Like
  • Don't bet on it.....
    20 Jun 2013, 09:29 AM Reply Like
  • Define "sale price". :) Ten percent off? Twenty?
    20 Jun 2013, 09:30 AM Reply Like
  • Here is how we are set up for interest rates:

    20 Jun 2013, 09:31 AM Reply Like
  • The bond sell-off seems like a knee-jerk response to me.
    20 Jun 2013, 09:31 AM Reply Like
  • Opening with losses, big or small, is something for the emotional man to ponder. Instead of panic, one should step back and observe just how much things have changed. They haven't -- except that the economy continues to sputter along. Common sense should dictate that easy money can be adjusted along the way. In fact cutting down on some of this is a sign of recognizing economic growth. Large companies awash in cash will feel more inclined to make that money work. Hiring will increase. All this while inflation remains relatively tame! Boy, anyone having missed the bull run on precious metals may be able to beginning adding some pickings to what should be an insurance policy for their portfolios. Look at Rio, Vale, BBL, and FCX and behold! These metals are still needed and will be needed more as populations continue to grow. Now, that is change! The same thing can be said about agricultural stocks. Knocked down from being knocked down they are looking mighty attractive.


    All of this said, I wish to again suggest, and strongly, that the Federal Reserve do its job instead of talking empty air about this and that. Someone is making a pile of cash while this miserable outfit talks easing or nor easing.
    20 Jun 2013, 10:01 AM Reply Like
  • Time to shut down the money spigots. Let private enterprise decide the fate of the economy. Stop intervening for the sake of a couple of points in the S&P.
    20 Jun 2013, 10:07 AM Reply Like
  • had the money spigots never been turned on we would be out of this mess by now. instead we are stuck with a 10+ year 'crises' that will just be all the more painful. just wait until mandatory insurance hits the lower range of employees (50k and less) and you'll begin to see even more pain.
    20 Jun 2013, 10:30 AM Reply Like
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