by John Galt May 6, 2012 19:15 ET US Equity futures as of a 1/2 hour ago: That was not hard to predict. Neither was the emergence of anti-austerity leftist and extreme right wing parties becoming viable in Europe. As a result of the elections in France, Germany (local), Greece, and Serbia, it would appear the Euro will be punished severely and traders have broken out the chairs and whips tonight: That chart looks good compared to the reaction of...
By John Galt April 17, 2012 – 19:00 ET And just as the British, Roman, and Arab Empires declined and fell in history, the Empire of America is changing into an empire of decline. Tune in at 8 p.m. ET for the latest HARDCORE NEWS, financial reports, and a scathing look at a new FEMA report on how to encourage civilian participation which would make the Stasi oh so proud. Remember the Sermon and Muster call! Just click on the banner below to find...
by John Galt April 8, 2012 11:00 ET The anticipation building up for the open of U.S. futures tonight is highlighted by the action in the Israeli and Arab markets which were open for trading today. In lieu of the non-farm payroll data, the theory is that there will be a decent sized plunge at the open of the US markets. The Saudi market probably illustrates the pattern the S&P 500 and DJIA will probably take; a sharp dive at the open with an...
by John Galt January 17, 2012 05:20 ET The ChiComs broke out the heavy weaponry but then again, didn’t yours truly say they could do this? Yes, I did and reports are that China injected $30 billion into their equity and financial markets to insure that the selling would be stemmed regardless of the economic figures manufactured by the government. The one consistent result when governments monetize debt like the EU and Federal Reserve and interfere in the natural direction markets wish to go...
by John Galt January 10, 2012 05:15 ET Here we go again. The Republicans are holding their primary today in New Hampshire and like good little rally monkeys they will march to the polls and vote for a New England clone of George W. Bush because “this time it’s different” and Romney would never do any of the things that idiot Bush did. At least that’s what they would have you believe. With Alcoa reporting a quarterly loss, Italian 10 year yields over 7.10%,...
by John Galt January 4, 2012 05:20 ET Buckle your seat belt, make sure you keep your arms inside the car at all times, and please secure all loose objects. All of the sudden yesterday’s “rally” isn’t looking so hot as the news broke this morning that usage of the ECB’s deposit facility hit an all time high yesterday of €453.18 billion and the volume in the U.S. markets was disappointing to the bulls and technicians. The Asian markets did not follow through with...
By John Galt December 30, 2011 07:50 ET Buckle up. 2012 is almost here. Last year I was so-so in my predictions and for 2012 I probably will be also. If you are meek put on your Depends for this show or just assume the fetal position when the theme music stops. In the first half hour I’ll cover the news of the day, the financial news and then begin the prognostications which cover geopolitics, sports, U.S. politics, the economy, weather, and whatever else...
By John Galt December 30, 2011 – 07:43 ET While many a commentator and bubblevisionista will argue that 2011 was a “safe” year with the Dow up about 6% for the year and the S&P 500 treading water but up slightly, the decline in the NASDAQ is the lesson of the year and a warning sign for stocks in early 2012. Traditionally during an election year markets rally as the election gets closer and I expect 2012 to be no exception. While timing is...
By John Galt December 27, 2011 – 07:30 ET Now that the holidays are over with, the returns complete, it is time to prepare for a harsh reality once again. First, the continued crisis in Italy continues with the 10 year yield crossing 7% again this morning, despite massive intervention by the ECB and member banks. (chart via Bloomberg.com) Secondly, the EUR/JPY swap is signaling another leg down in the Euro currency is imminent, probably at the end of this week or the next...
By John Galt December 23, 2011 – 05:50 ET Grandmabear got runned over by a Plungerdeer Walking home from Wall Street Christmas Eve. You can say there’s no such thing as Santa rallies, But for me and Art Cashin, we believe. The bears had been drinkin’ too much eggnog, And we’d begged them to buy more Citigroup. But they’d believed too much in Whitney, So off the margin calls knocked them for a loop. When they found them Christmas mornin’, At the scene of...
By John Galt December 22 2011 – 04:59 ET This is the time of year where the idiots will tell the viewers of the various bubblevisions that the Santa Claus rally is a sign of underlying economic strength and that this portends a bullish 2012. They will claim it means a major economic turn around is coming and blah, blah, blah. Really? Did anyone tell Asia last night where Shanghai had its 4th negative close in a row and is in danger of crashing...
By John Galt December 20, 2011 – 05:20 ET Yesterday’s market action on thin volume was in a word, brutal. All of the indicators that Santa Claus was going to save the day failed. Gold rallied above $1600, then fell. Oil barely moved. Financial stocks scream of a disaster building cause in the markets. And despite the horrid yields, people are piling cash into the U.S. bond market, even accepting real and net negative yields to insure the return of capital. The S&P 500′s...
By John Galt December 19, 2011 – 15:40 ET Chart from CNBC.com for once: S&P 1200 is in doubt once again….bah humbug! Uh-oh…Sing it Petula!
By John Galt December 19, 2011 – 11:05 ET Goldman Sachs is beginning to look a lot like the Grinch that Stole the Christmas Rally. Check out their action today on the chart courtesy of Yahoo Finance: If GS breaks below 85 this week, the markets will follow suit and break severely before the holidays, setting up for a very negative start to 2012. Watch this sucker closely gang.
By John Galt December 19, 2011 – 08:20 ET A tad late this morning with the update but then again, I was up into the wee hours to see if the Dear Leader’s son was going to engage in a random act of kindness or stupidity. Fortunately it has been quiet beyond the traditional launching of a short range missile to scare the South Koreans and keep our boys in the peninsula on alert. The markets went no where fast last week besides dropping...
By John Galt December 16, 2011 – 05:30 ET A short note on this morning since it is quad witching and who knows where this market will end up today…. 1. 1220 is overhead resistance on the S&P 500 so look for the PPT to be quite active to kick start the Santa Claus rally. 2. Gold had best find a way to get back over $1600 or for the short term the break down will continue towards the $1533-$1540 level. 3. A dead...
By John Galt December 14, 2011 – 10:57 ET No sooner than the ink did dry on my 2 out of 3 strike warning, than BOOM. Swing and amiss: (chart from FOREXPROS.com) All bets are now off without MASSIVE INTERVENTION by the central banksters. S&P 1092 could come into play rapidly unless the Forex markets are checked.
By John Galt December 14, 2011 – 10:30 ET I would call this a major concern for those who think that the European crisis is cured or that the markets can not crash in December. STRIKE 1: Gold violates 200 Day Moving Average (DMA) Next stop $1480 and a warning signal of short term deflation on the horizon. STRIKE 2: S&P 500 Violates key Support at 1220 below 50 DMA Next stop, $1152 if the markets can not recover the 50 DMA today above...
By John Galt December 6, 2011 – 05:25 ET With the S&P news rattling the markets last night one might expect to wake up this morning to mini-stock market crashes around the globe. Nah. Everything in the U.S. equity markets indicates a flat open while Europe is only down slightly Gold cratered to $1712 overnight but is almost back to where it was around 6 p.m. ET last night and the world seems to be sitting on the razor’s edge waiting for some sort...
By John Galt December 5, 2011 – 07:40 ET All is well with the world once again. Santa Merkel has hung her Grinch suit in the closet and donned her stunning old school statist outfit to prove that she can out-Bernank the Fed. Sarkozy had put on the French Poodle outfit in an obedient manner as a good lap dog for Germany would be expected to do. Of course the French President has yet to move his offices to Vichy but that’s just a...
By John Galt December 2, 2011 – 05:30 ET I’ll keep this one brief with some numbers: Gold should head north of $1780 today, fail and pull back at the close. The BLS NFP dart board prediction from myself: +163 K U-6 Remains above 15.2% S&P 500 approaches 1265-1266 on light volume and starts to fail before the close. The main thing is to watch the 3 month US Treasury and the reaction of the financials to the drip, drip, drip of news out...
By John Galt December 1, 2011 – 05:25 ET Now that the thrill is gone and so is the short covering rally, reality will return to the markets and in a violent sort of manner. Look for today to be a very mild trading day with weak volume and conviction compared to yesterday’s thrill ride. The markets should trade up or down within a 0.5 to 1% range at the most with 1265 on the S&P 500 cash acting as upward resistance. That number...
By John Galt November 30, 2011 – 09:00 ET No words are necessary to tell you what is happening next, so I thought I would let the 2008 charts speak for themselves. (Click to enlarge/reduce chart size) Sept 2008 S&P 500: Aug 2008-Dec 2008 S&P 500: Sept 2008 Gold: Notice the spike as gold rallied on the dollar swap liquidity announcement. Aug – Dec 2008 Gold:
By John Galt November 29, 2011 – 05:30 ET The news this morning is simple: The EFSF is hollow and will not work. There is no grand bailout plan for the PIIGS or other European nations. France and Germany still hate each other. Poland has offered to surrender to Germany again this morning. And the United States is being led by cartoon characters. This means the S&P 500 should make another run at 1194, then 1200, and finally 1220 before capitulating once again due...
By John Galt November 28, 2011 – 07:20 ET After the latest rumor de jour was crushed by facts: IMF Denies Italian Bailout Package Talks The markets do not care. The Eurorumor of the day was enough to juice the futures and Asian markets overnight moving money out of the Forex safe currencies and into speculative plays for window dressing in the equities markets. The big movers were obviously EUR/USD and EUR/JPY with a nice gap in both as highlighted in this hourly chart...
By John Galt November 22, 2011 – 22:00 ET Just a quick note before I crash for 4 hours: FUGLY. Wow. (ALL CHARTS FROM FOREXPROS.COM…click here to see all of their futures charts) U.S. Futures down hard: Down 13.10 at this posting. But what is scarey is the FOREX futures…. Aussie v. USD: Canadian Dollar v. USD: Hang-Seng Index (down 2.05% at the moment): Stay tuned, this could get super ugly with a holiday in the U.S. on Thursday and massive uncertainty about Europe’s...
By John Galt November 23, 2011 – 05:25 ET With this morning’s 6 month T-bill auction providing the highest yields and poorest results in 14 year, all bets are off now as to how much longer the EU can hold this fictitious union together. After yesterday’s poor equity market performance in the U.S. and Europe, odds are of a dead cat bounce today which may even fail during today depending on the news flow. 1220 on the S&P 500 now becomes resistance with 1149-1154...
By John Galt November 21, 2011 – 07:15 ET With futures looking pretty ugly already, the blame game has begun. Blame the Spanish election. Blame the Italians. Blame the Greeks. Blame the ECB. Blame the extra-Constitutional super-committee. In reality these entities have been the problem all along, creating a nightmarish if not illegal Ponzi economy which as it implodes takes layer upon layer of their citizen’s wealth with them. The desperation expressed by the financial and political elites to preserve their power base and...
By John Galt November 14, 2011 – 07:25 ET With the successful overthrow of the Greek and Italian governments by the powers of Northern Europe, one would think that the world would be stable and life would return to normal right? Uh, no. The adults(bond traders) are back at work today and the next two weeks are truly some of the last serious trading periods before year end. In Europe an Italian bond auction was less than enthusiastically received and indications are that investors...
By John Galt November 11, 2011 – 05:25 ET S&P 1254 is resistance still, 1220 support. The bond market is closed today and there are many traders enjoying a day off so it means the kids will have free reign to ramp this sucker up so do not be shocked if we see a day of +12 on the S&P and 120+ on the DJIA. Adult supervision will return on Monday. Sunday night will be the key as the Yen is surging again this...
By John Galt November 9, 2011 – 06:15 ET UH-OH. We have an EAS test at 2 pm but on Wall Street the alarm went off early. S&P 500 futures are down a solid 26.90 as this is being typed and moving south since 0500. Meanwhile, the West’s economic future depends on a bunch of socialists who screwed their economies up to fix their economies and prevent a worldwide collapse. In the mean time, there are idiots who are trying to reassure investors around...
By John Galt November 2, 2011 – 07:45 ET (chart from INO.com) If gold is up, the the Bernank must be speaking today. At 12:30 ET the FOMC decision will be released and it would appear that they are about to change the ZIRP policy from panic mode to cruise control as they shift the responsibility for inflation and employment growth to the fiscal mess in D.C. and off their list of responsibilities for the immediate future. Add in the fact that they have...
By John Galt October 31, 2011 – 07:45 ET The Way we Were Memories Light the corners of my mind Misty watercolor memories Of the way we were Scattered pictures Of the smiles we left behind Smiles we gave to one another For the way we were Can it be that it was all so simple then Or has time rewritten every line If we had the chance to do it all again Tell me – Would we? Could we? Memories May be beautiful...
By John Galt October 28, 2011 – 05:20 ET Way, way, way, way, way back in history, our esteemed consumer of ink and paper, Federal Reserve Chairman Ben Bernanke and the central bank allegedly leaked to the member banks of that corrupt group that a pending course of action was about to occur where the discount window would be opened and Cramer’s infamous rant would result in a stick save of epic proportions as the banksters would be able to continue the Great Ponzi...
By John Galt October 27, 2011 – 05:25 ET The big event which in reality is a non-event that the European Union announced last night was that they decided to break the backs of taxpayers in the U.S. using the IMF and in Europe by enslaving those who were not responsible for other nation’s debts into paying the price for an incompetent political union.As this crisis moves forward with Italy and Ireland needing more assistance the realization that Greece was a small problem will...
By John Galt October 25, 2011 – 05:30 ET Just a brief note this morning…. Look for the S&P 500 to cross the 200 DMA, victory declared, and everyone wondering why the public is not participating in this rip your face off rally. Then look for Europe to start their idiocy again Wednesday morning. I’ll have more commentary later on today.
By John Galt October 24, 2011 – 08:00 ET Despite the proclamations of some who smoke the hopium that America is on the road to recovery and the 20% + real unemployment rate does not matter, the divergence between our political elites and Main Street is as glaring as I have ever seen it in my life time. The Eurocircus is ongoing now with rumors about rumors being leaked from meetings on an almost hourly basis which results in temporary boosts to equities and...
By John Galt October 21, 2011 – 05:30 ET What a week. The markets started with the promise of a Eurozone solution by Sunday and finish the week with a promise to discuses a promise to promise an announcement on Wednesday’s meeting by Sunday. The funny thing is the PPT and Bubblemedia have some morons actually believing that the Europeans have learned how to create solvency. The proclamations the world has heard thus far are as productive and logical as the guy in Ireland...
By John Galt October 20, 2011 – 05:30 ET All you need to know about what is coming can be found in the charts below. Things are breaking down in Asia and Europe thus it is a matter of days perhaps when we take the lead back and head south for the winter. Gold, using the GLD ETF, is indicating a massive break about to happen below the $1550 mark, probably below $1500 (150 on the ETF approximately) in the days ahead: (click on...
By John Galt October 19, 2011 – 08:10 ET Futures are all over the place this morning as yesterday’s rumor rally of the week projected that Europe would be saved for the 1,372nd time in 720 days which means that the ECB and Bubblemedia will have to redouble their efforts and create a minimum of four to five rumors today to keep this market in sucker the sheeple mode. The insanity of what the idiots are trying in Europe is being revealed as Germany...
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