The hedge fund industry is beaten down, locking in horror performances and running away from equities … so …
What will happen now???
First some quotes out of a Bloomberg article … to get a feeling, how bad it is
- Hedge-fund manager David Tepper entered the third quarter with $3.1 billion of U.S. stocks and […]

Citibank still thinks, it can make things turn around by cutting jobs and slash costs …
They might be EXTREMELY WRONG!!!
They have to DELEVERAGE!!!
WSJ today has some figures, which should make you scared!!!
- Tangible assets, which don’t include goodwill or intangibles, are 55 times the bank’s tangible equity. J.P. Morgan Chase, by contrast, is 31.4 times, […]

Markets … AFTER!!! a nice U.S. reversal …
just fall out of bed … starting with Asia, now followed by Europe … around 10% down … was the rule of thumb …
U.S. equity futures locked LIMIT DOWN on Globex …
Reason is … how ridiculous it might sound …
Mr. Roubini’s remarks yesterday on a hedge fund […]

Still selling … no buyers …
Emerging market domino goes on … Hungary was hardest hit today.
The real problem is … IMHO … so far a lot of words, but not much action implemented by Governments and Fed.
And as everybody knows, that tougher regulation will govern the markets …
they have to sell … sell … sell […]

What happened today?
Yes, we got the expected bounce in equities … and yes, it faded soon …
we had a squeeze in the last hour … surely the PPT was involved
The interesting thing seems to be … as so far nothing fundamental has changed yet … investors are just dashing to the sidelines, closing positions.
So still […]