Stocks' 17% Gain Since Bernanke Disclosed QE2 Disarms Critics
Ben S. Bernanke, chairman of the U.S. Federal Reserve. Photographer: Joshua Roberts/Bloomberg
Dec. 16 (Bloomberg) -- John Taylor, a professor of economics at Stanford University and a former Treasury undersecretary, discusses Federal Reserve monetary policy and the outlook for U.S. economic recovery. Taylor speaks with Tom Keene on Bloomberg Television's "Surveillance Midday." (Source: Bloomberg)
Republican leaders in Congress say they have “deep concerns” about Ben S. Bernanke’s second round of quantitative easing. The U.S. stock and credit markets don’t share those reservations.
The Standard & Poor’s 500 Index has climbed 17 percent since the Federal Reserve chairman first indicated on Aug. 27 that the central bank might buy more securities to boost the economy. Junk bonds rallied, with the extra yield that investors demand to own the securities instead of government debt shrinking to 5.45 percentage points yesterday from 6.81 points, according to Bank of America Merrill Lynch index data.
“It has been successful,” Peter Hooper, chief economist at Deutsche Bank Securities Inc. in New York, said of Bernanke’s policy of pumping money into the financial system, dubbed QE2. “It’s contributed to the rally in the stock market” and has “been important in reducing substantially the downside risk of deflation.”
Economic reports signal the recovery is gaining strength. A bigger-than-projected increase in retail sales in November prompted Michael Feroli, chief U.S. economist at JPMorgan Chase & Co. in New York, to raise his outlook for fourth-quarter consumer spending. Industrial production in November also exceeded forecasts, and a gauge of consumer confidence rose to a six-month high in December.
Will The Lowest Hedging On Record Play Tricks On OpEx Day When Open Interest Is Rumored To Be At All Time Highs?
As there is very little trading volume in general these days, and far less non-robotic trading volume, today's trading will likely be defined almost exclusively by Wall Street's option trading brigade. As it is option expiration day, we expect a very rigorous attempt to take out all the pins where the open interest is highest. And courtesy of Sentiment Trader, we could be in for a doozy. Based on his Equity Hedging index, we are at an all time low in terms of his just created proprietary Hedging Activity index. Which means that a record number of people are currently unhedged. Couple this with rumors of one of the highest open interests in existence, and it may get ugly soon. As for forecastability of what this means in terms of returns, it's not pretty: "When the EHI dropped below 20, during the next three months the maximum gain in the S&P 500 averaged +2.5% while the maximum decline averaged -5.9%. Each time, any short-term upside progress was erased during a swift corrective period at best." Then again, in a bizarro market entirely dominated by the Fed's telegraphing of its equity purchase decisions, we are fairly confident that the predictive prowess of any existing indicator is largely in doubt at a time when none of the traditional market dynamics are even close to being relevant.
From Sentiment Trader
It's worth noting that the most recent reading of the Equity Hedging Index is at a new record low (data dates back to 2001). You can find more background on the indicator here. When we look at the various ways most speculators hedge against a decline, there is almost unanimous agreement among them. Each hedging component is scored from 0 (no hedging) to 100 (extreme hedging). Right now, three of them are at 0, three more are under 10 and one is at 36, giving us an overall average reading of 8. The previous record low was a reading of 9 on 12/23/04.
Egyptian Archaeologist Admits That Pyramids Contain UFO Technology
In a shock statement, head of the Cairo University Archaeology Department, Dr Ala Shaheen has told an audience that there might be truth to the theory that aliens helped the ancient Egyptians build the oldest of pyramids, the Pyramids of Giza. On being further questioned by Mr Marek Novak, a delegate from Poland as to whether the pyramid might still contain alien technology or even a UFO with its structure, Dr Shaheen, was vague and replied “I can not confirm or deny this, but there is something inside the pyramid that is “not of this world”. Delegates to the conference on ancient Egyptian architecture were left shocked, however Dr Shaheen has refused to comment further or elaborate on his UFO and alien related statements.
The Great Pyramid is believed to have been built over a 20 year span. The pyramid is so huge and so perfect that we wouldn’t be able to construct something like this in our days and age that will compare. Each giant Stone ranges from 1 to 20 tons in weight, and the Great Pyramid consisted of well over 100,000 stones. But the Egyptians had no machinery, engines, or construction equipment. So the question still stands, who built the great pyramids?
Theories suggest the Egyptians built these pyramids, but this asks us how Egyptians hauled 20 ton stones and placed them perfectly Hundreds Of Feet high 145.75 m, 481 ft high. Some suggest they built a ramp with stones that went from the ground to the top. The flaw in that theory is that It would take More Rocks to build the ramp than it would to build the Pyramid. When the Pyramid was done, where did these rocks go? So much for that theory.Another question is How did they move these extremely heavy rocks? Experts that insist Egyptians built the Pyramid suggest, trees were cut down and smoothed off, and were used as giant rollers under these 20 ton rocks. If you would roll a 20 ton rock on 5 trees, The tree would be too worn down and awkward to haul another, so these logs would be replaced every Stone. Due to the fact there are over 100,000 stones that make up the pyramid, you would need an excess of a half million trees. The problem with this theory is the lack of trees in that area. Egypt grows some date trees, that’s about it. And they certainly wouldn’t cut down all their date trees, for dates are one of the main foods in EGYPT! Now the Great Pyramid was the biggest and tallest of all the Pyramids ever built. Since the Egyptians left us an entire detailed written summary of every event in Egypt imaginable, You would think the building of the greatest Pyramid would be discussed. But it Isn’t. The Pyramid was referred to a few times in very early Hieroglyphics. Egyptian writing suggests the Great Pyramid Was Standing Before Egyptians Populated The Land. Ancient hieroglyphics have detailed writings of farming, giving birth, Pharaoh worship, Hunting, Building Structures, etc, BUT the Building Of The Great Pyramid Was Never Mentioned. Hehe makes ya wonder If it took 10,000 workers per month over a 20 year span to build the Pyramid like experts suggest, There wouldn’t be enough people in a 500 mile radius to make this possible at all.
Actually ancient Egyptian writings very often talk of beings from the sky, the sky opening and bright lights coming down to teach them technology and give them wisdom. Many pictures and symbols resemble UFOs and aliens. POSSIBLY aliens built the Great Pyramid. And these solid long lasting construction techniques were adopted by the Egyptians.
Ancient Egyptian legends tell of Tep Zepi, or the “first time”. This is described as an age when “sky gods” came down to Earth and raised the land from mud and water.
They supposedly flew through the air in flying “boats” and brought laws and wisdom to man through a royal line of Pharaohs. And of course, this was all thrown out the window when Christianity came along. Keep in mind that the Gods were the one and only ‘religion’ that there was. No other conflicting beliefs? Why? Well because it was fact, not faith. The modern church would have you believe that’s it’s just a myth. But you have to ask yourself on the edge of Occam razor, what truly indeed is more likely?
That a very advanced alien race came down and altered our gen pool, like ALL other ancient cultures concur with OR, that a bearded spirit in the sky basically went ZAP, and created us in six days. (And kicked back on the seventh)? of course not.. all that in the bible is just copied and manipulated to suite someone else’s agenda for power.
Source: Ray Alex
No comments:
Post a Comment