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This is the first time after any of the QE, Twist, and LTRO announcements that the stock market...

This is the first time after any of the QE, Twist, and LTRO announcements that the stock market is lower 13 trading sessions later, writes David Rosenberg. The Fed may have established a floor for prices, but the global economy has created a ceiling. Another obstacle is bullish sentiment, just the opposite of this time last year when investors were hunkered down for more pain.
Comments (15)
  • great observation but there is huge collusion amongst the FED and a number of hedge funds. No way in hell SHW should trade where it is or LULU,UA,TSCO and many other retailers. Greater fool theory at work.
    3 Oct 2012, 02:52 PM Reply Like
  • or AMZN, LNKD, or FB....


    Of course there's good investments out there, but the pool seems to be drying up...
    3 Oct 2012, 08:23 PM Reply Like
  • absurditum: "collusion amongst FED and hedge funds" !!! Next thing will be announcement that the two parties will cooperate with each other in Congress!
    3 Oct 2012, 05:02 PM Reply Like
  • Guess there is just a lack of equity buyers regardless of how much central banks attempt to spin the wealth effect.
    3 Oct 2012, 05:18 PM Reply Like
  • The more tissue paper generated by the Fed the more the stock market will rise, a tidy correlation. The brutal forces at work to support the current administration benefit Wall Street as well. These are very easy times for Wall Street bankers. What's not to like? Free money with government guarantees, which in turn can be placed in dividend yielding companies at minimal risk. As for the economy and those of us not on the government 'favored' list? A sharp contrast indeed.
    3 Oct 2012, 06:35 PM Reply Like
  • So SA now reads ZH?


    In 2010 the economic growth and corporate earnings prospects were much higher than they are now. The ISM data show a deterioration from 2010 to now, similar to 2004-2008. Many large cap equities sit at a relative inflection point (CAT, FDX). How long can this condition persist? With the election and fiscal/tax cliff uncertainties, until Nov/Dec or even after. I'd like to see a sharp move one way or the other before then, but we may not get it. Any weakening appears to be bought and any strengthening, shorted. Will earnings be a catalyst?
    3 Oct 2012, 06:48 PM Reply Like
  • how about that whitehawk;


    ever since SA stopped allowing me to instablog in the spring, i moved on and i tell you, the commenters on SA are much more coherent but the steady stream of reality that ZH puts out is numbing; the uk telegraph says a lot of real stuff too; also the testosterone pit if you watch their casey research bias; also miles franklin is good too although sometimes taking a little too much from ZH


    for what its worth, the fact that the goldman parrots did as they were told here and in europe in the same month bodes seriously bad for 2013; my take is that the losing side on this 'election' is going to be upset and will let the tax stuff slide into the new year; so this should give the goldman rug pull a solid spot for late nov/ early dec coupled with tax loss selling and the hey i should lock in some gains fund manager crowd and i say that this goose to the mid 1400's will eoy at 1322; still a gain on the year and another glorious goldman reset moment
    3 Oct 2012, 07:06 PM Reply Like
  • Believable scenario, as you put it. The markets are always at the mercy of those looking to shake out the weak hands - GS has perfected this strategy. On the other side of the coin - if there appears significant stimulus from other CBs (e.g. BoC), that can always drive markets much higher, resetting another period of price ranges.
    3 Oct 2012, 08:04 PM Reply Like
  • It's slightly too early to criticize QE3, since it hasn't started yet. Evidently this has been sock-sorting month at the Fed's bond desk.
    3 Oct 2012, 07:17 PM Reply Like
  • The Fed's balance sheet is still flat.
    3 Oct 2012, 07:19 PM Reply Like
  • Lol, I'd like to see a daily trading log of all trades made by the NYFed trading desk, not just those made public.
    3 Oct 2012, 08:09 PM Reply Like
    4 Oct 2012, 11:35 AM Reply Like
  • We are passed the Tipping point. It doesn't matter anymore. Start accumulating your Physical metals.


    3 Oct 2012, 10:31 PM Reply Like
  • I'm not seeing the bullish sentiment. Most of the opinion articles here and definitely all of them on Zerohedge are bearish the markets.
    3 Oct 2012, 10:56 PM Reply Like
  • Insider trading is bailing 6 to 1..I would say that is a big indicator..
    4 Oct 2012, 01:41 AM Reply Like
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