Hard ball for the FED

Posted: March 20, 2014 in Uncategorized

Now we are actually in the usual position (seen the last time in October) of the market vs Federal Reserve.

The markets want to go down and the FED is fighting hard to keep the market from crashing.

(the theory is always do what they do, not what they say – in the US market on the 17th -when the markets rallied hard – there has been a lot of option buying in pre market …a size that indicate market manipulation).

Differently from October, this time the FED is dealing with events outside its control (in October was a mere US political affair) that could mean a no win situation.

– China slowdown

– Russia / Ukraine

and, unnoticed for now by the media, an escalation of tension between Syria and Israel (an Israel military unit has been hit in the Golan region and the Israeli Air Force and Artillery attacked Syrian (not Hezbollah or rebel) outposts.

Definitely a scary market, but not one that you can short in tranquillity as the Fed is very powerful.


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