Submitted by Tyler Durden on 12/08/2011 - 22:32
UPDATE: Gold and Silver just dropped more aggressively
Since the news broke that there is no 27-nation agreement, risk markets are showing strains. Perhaps a little surprising is the lack of total panic in the EURUSD (50pips or so) as ES (the e-mini S&P 500) has now dropped almost 1% from its after-hours peak. Broadly speaking risk is off across the major markets with US TSYs rallying, the TSY curve flattening, and commodities rolling over (oil under $9
but it is AUD and the carry pairs that are driving ES down as much as anything else.
Comments: 10
Reads: 1,125
one comment. Lil editing for G rating LOL
Cdad
Cdad's picture
Yep...weeks of rumors causing gap up opens [not rallies], followed by denials, more lies, and more HFT ramping...do not a healthy market make. "Snafu"would be a tad understated. I might have gone with the more dramatic "cluster$uck," myself. As well, last night's use of "s
$hit show" really hit the spot.
What a complete cluster$uck, zero credibility market...and of course, the bankers are at the heart of it all again.
Good grief [and by that I mean when the $uck is this nation simply going to wake up and drain every single dollar they have out of Blight on America bank?]
http://www.zerohedge.com/news/risk-assets-deteriorating-rapidly-europes-snafu
Mini flash crash on gold........
Newager23
Newager23's picture
Gold went straight down from 1750 to 1710 in an instant. My question is what causes this. Is it one trader? One computer program? Can one seller truly move a market this large in such a quick burst of selling? It is so strange when these take downs occur, and it always seems to happen when there is bad news. I would love to know what moves these markets so quickly.
It seems like a coordinated takedown to me. What is odd is that whenver risk goes up, gold goes down. If gold reacted appropriately it would go up. Then there would be a big move into gold and as people realized it was a risk off investment. I've been waiting for this decoupling and it never seems to come. It will though. It's just a matter of time.
Realist - Everybody in America is soft, and hates conflict. The cure for this, both in politics and social life, is the same -- hardihood. Give them raw truth.
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