Thursday, September 03, 2009
Grrrr. Macro Man hates days like these. Y'know, the days of reversal (however temporary), where the pimps, gimps, and chimps who have been on radio silence for the last 24% or so in the Shanghai Comp are suddenly all over the one day squeeze.
For squeeze it surely did, as it ramped up a rather tasty 4.8% on steady gains throughout the day. The catalyst appeared to be comments from one of the regulators on wanting a "stable and healthy" market. Alas, Macro Man can remember the days when a "healthy" market was one that didn't rely on administrative diktat for direction...
Anyhow, the tinfoil hat brigade was out in full force yesterday after a brutal spike higher in gold. Tempting as it is to derive some fundamental pearl of wisdom from the move, which was seen by all and explained by none, it may well be the case that the rip higher was merely caused by....er....someone buying some.
In any event, silly season is upon us; it's day 3 of the month, and we're already averaging one BS story per day. Such is the path of more volatile trading coniditons...while it's tempting to grind one's teeth in frustration, at this juncture (with today's ECM tender announcement and tomorrow's payroll figs on the horizon), it's surely far better to grin and bear it.