Short DAX at 7740

Euro puking on the back of imminent Greece default - priceless

Sterling puking as it will follow Greece - priceless

Equity markets not correcting, bizarre
 
Dec. 18 (Bloomberg) -- German business confidence increased to the highest in more than a year in December, a sign the economic recovery is on track.

The Munich-based Ifo institute’s business climate index, based on a survey of 7,000 executives, rose to 94.7 from 93.9 in November. That’s the highest since July 2008 and compares with the 94.5 median forecast of 33 economists in a Bloomberg News survey. The index reached a 26-year low of 82.2 in March

Recent reports have painted a mixed picture about Germany’s recovery. While the ZEW institute said four days ago economists are tempering optimism about the outlook, the Bundesbank this month raised its forecast for 2010 growth and Volkswagen AG in November posted the strongest monthly sales gains this year.

“Order books are filling again, there’s increasing demand from Asia,” said Carsten Brzeski, an economist at ING Groep in Brussels. “In terms of economic growth, Germany will be No. 1 in the euro zone next year.”
 
Quote from Alexandre:

Euro puking on the back of imminent Greece default - priceless

Sterling puking as it will follow Greece - priceless

Equity markets not correcting, bizarre
More...

That's priceless...:

Dec. 18 (Bloomberg) -- The European Central Bank should revise its collateral rules after a series of rating downgrades left Moody’s Investors Service holding a veto over Greece’s access to ECB loans, Goldman Sachs Group Inc. said.

“This is a bizarre and ultimately untenable situation for the ECB,” said Erik Nielsen, Goldman’s chief European economist in London, in a note late yesterday. “Unless we get a major improvement in the Greek fiscal outlook during the next few months, the ECB would want to rectify the situation.”

The eligibility of Greek government bonds is in doubt after Standard & Poor’s on Dec. 16 joined Fitch Ratings in downgrading its debt to BBB+. One more cut from Moody’s would mean Greek bonds won’t be accepted by the ECB if it reverts, as planned, to its pre-crisis collateral rules in a year’s time.

The ECB currently accepts bonds rated BBB- as collateral after relaxing its rules in response to the financial crisis.

“The unthinkable -- that the ECB would not accept sovereign securities from a member as collateral -- has become a measurable risk, and one exclusively controlled by Moody’s,” Nielsen said. Moody’s is now the “de factor decision maker on Greek eligibility.”

Greek bonds have plunged in the past two weeks, partly as rating companies questioned the government’s ability to cut a budget deficit that’s the highest in the European Union. S&P cut Greece’s credit rating on concern measures to fix the budget don’t go far enough.

The yield on the 10-year Greek government bond has jumped around 70 basis points to 5.70 percent this month.

An investment bank interfering into ECB policy. WTF is Goldman Sachs to tell ECB how to assess sovereign debt situations ?:mad:
 
if we open, it looks like 6000 is in the cards.

Who would have bet on this occurring by the end of 2009 when we were around 3600 back in March?

surreal, outlandish, that's the world we live in :mad:
 
Quote from Alexandre:

if we open, it looks like 6000 is in the cards.

Who would have bet on this occurring by the end of 2009 when we were around 3600 back in March?

surreal, outlandish, that's the world we live in :mad:
More...

do you recall that monthly chart I posted dax at 8000 & pointed pullback all the way to 4000 according to how I measure divergence based retracements. Markets started selling off, arrived at unacceptable fundamental lows & now they have to get it back to fundamentaly acceptable levels, which are ...
 
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