The Bizarro World Markets

We all know the game is rigged by now and that the Fed has full control on the direction of the markets. To see this in action its remarkable how little power we have in fighting the fed, when they want to move the markets higher even on poor economic data they do just that. Its a tough market out there for any bears remaining, after a small short in the morning i realized it was going to be a POMO driven day.

all in one day yesterday we had the S&P 500 rallying on the back of terrible Durable Goods Orders m/m, the euro surging after it was announced Portugal is going to need a bailout and Silver margins being raised at the CME juuust after Gold hits a new all time high.

as long as QEII is in effect and the printing presses are turned on its a BTFD kind of market. If the program ends in June as Bernake has stated it will, maybe just then this will return to a normal functioning market. If however QEII is extended or a QEIII is born we just keep buying gold and silver, the long range targets will come much quicker with a few more Trillion dollars sloshing around out there.


POMO to the rescue, without this buying at key support areas it could have been a rough day.



I wonder if someone on the European continent got a sneak peak of how the day was gonna finish:



the last time a EURO memeber country needed a bailout it sent the EURO tumbling and markets crashing.... not this time though, they've got it all under control.



lastly a little margin hike to scare them away from buying anything of actual worth