Stick Save

by Larry Levin

Did anything special happen today? Naaah, just another horrible economic report or two followed by another equity rally.

ZeroHedge summarizes both reports so nicely, I'll leave it to Tyler to explain..."And risk off. 7 out of 8 Richmond Fed indicators declined, with just Vendor Lead-Time remaining flat at 0. Number of Employees plunged from 12 to -3. And w/r/t the now almost certainly sub 50 print, Shipments, Volume and Backlog all plunged by 10 or more points. In a word, total diffusion index massacre.

"As for consumer confidence: somehow the record September surge in stocks did nothing to make people forget just how broken the US economy is, and that they do not enjoy being lied to about recessions being over. The Conference Board printed at 48.5, compared to 53.2 revised in July, on expectations of 52.4."

Both reports were worse than BAD but never fear, the FED is here.

The Federal Reserve saved the day again with another round of POMO activities, which is really a clandestine way for the banksters to buy equities with your money. The next round of POMO fueled stock purchases will be Thursday.

Like a goalie in the net eying a hot puck from the blue line - the FED saved the market again with a well timed "stick save."


Previous Day's Trading Room Results:
Trade Date: 9/28/10
E-Mini S&P Trades*
(before fees and commissions):

1) FT buy @ 1:15pm at 1141.50 = b/e (1)

2) Algorithm positions (5)

3) “Reading the Tape” positions (4) combined Secret’s, Algo, & “Reading the Tape” total… +2.00

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