Author: BlackMask Financial

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Eurozone manufacturing PMI up to record 62.5 in March

Eurozone PMI Manufacturing was finalized at 62.5 in March, up from February’s 57.9. Manufacturing economy “performed extremely strongly”, with “operating conditions improving to the greatest degree in nearly 24 years of data collection.” Looking at some member states, Germany PMI manufacturing rose to 66.6, a record high. The Netherlands rose to 64.7, record high. Australia rose to 63.4, 39-month high. Italy rose to 59.8, 252-month high. France rose to 59.3, 246-month high. Ireland rose to 57.1, 8-month high. Spain rose to 56.9, 171-month high. Even Greece rose to 51.8, 13-month high. Chris Williamson, Chief Business Economist at IHS Markit said: “Although centred on Germany… the improving trend is broad based across the region as factories benefit from rising domestic demand and resurgent export growth…. Driving the upturn has been a marked improvement in business confidence in recent months, with expectations of growth in the year ahead running at record highs in February and March.”

Nick News: Further PROOF we are in a world wide recovery. Good news on the vaccine front. It looks like fully vaccinated people who have received the mRNA breakthrough vaccines Appear to have immunity from the mutant strains. Its a race to vaccinate@

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ADP: US private payrolls rise by 517,000 in March

The number of jobs in the United States private sector rose by 517,000 in March compared to the previous month, below analyst expectations, the ADP National Employment Report showed on Wednesday. Employment in midsized businesses contributed the most to the growth having added 188,000 jobs this month, while small companies hired 174,000. Meanwhile, large businesses added 155,000 jobs. Jobs growth in the service-providing sector accounted for most of the gains in March at 437,000 new jobs, a majority of them in the leisure and hospitality industries. “We saw marked improvement in March’s labor market data, reporting the strongest gain since September 2020,” chief economist at ADP Nela Richardson said.

U.S. private employers added back more than half a million jobs in March for the best gain since September, according to a report from ADP on Wednesday. However, job growth still slightly missed expectations, even as February’s inclement weather abated and the domestic vaccination program picked up steam. Private payrolls grew by 517,000 in March, ADP said in its closely watched monthly report.

This followed a revised gain of 176,000 in February, up from the 117,000 previously reported. Consensus economists were looking for domestic private employers to bring back 550,000 jobs during the month, according to Bloomberg data.The report was “mildly disappointing,” Pantheon Macroeconomics economist Ian Shepherdson said in an email Wednesday morning. However, he noted that it does not change the “improving” big picture for the trajectory of the U.S. economy. “This report is nothing more than a snapshot of the labor market in early March compared to early February. It tell us nothing about the likely path of payrolls as the economy fully reopens over the next couple months,” Shepherdson said. “We expect 1M-plus payrolls in April, and then substantially bigger increases in May and June.” In March, the services sector again handily led the way in recovering jobs, with service-providing payrolls climbing by 437,000. Leisure and hospitality industries made the largest advances, with payrolls rising by 169,000. Trade, transportation and utilities jobs also rose by 92,000, and professional and business services jobs rose by 83,000.  The goods-producing sector also posted net private payroll gains in March, with these increasing by 80,000. Construction and manufacturing jobs rose by 32,000 and 49,000, respectively, though mining positions edged lower by 1,000.   Heading into Wednesday’s report, more timely data on the state of the U.S. labor market hinted at an upturn in employment at the beginning of spring. New weekly jobless claims fell to a pandemic-era low last week, as the number of those newly unemployed fell by the most in seven months. Plus, the Conference Board’s latest report this week showed that consumer confidence picked up to a one-year high in March, with stronger consumption trends and increased demand set to engender more hiring. ADP’s private payrolls report also sets the stage for the U.S. Labor Department’s “official” March jobs report due out on Friday. The ADP report has typically been an unreliable indicator of the results in the government report due to differences in survey methodology, with ADP only counting individuals on active payrolls during the survey period as employed, whereas the Labor Department includes those receiving paychecks during the survey period.  Based on the latest consensus data from Bloomberg, Friday’s report will likely show that non-farm payrolls grew by 650,000 in March, or by the most in five months. The unemployment rate is expected to decline by 0.2 percentage points to a fresh pandemic-era low of 6.0%.  Nick Note: you hire people as you reopen your business. Making this a leading indicator. Profits on the bottom line are a laging indicator. The US economy as is the world economy is opening up. Jobs are plentiful and easy to find. The masses are flush with cash. No matter what they spend their money on it ends up on wall street as either taxes or as shares in stocks the masses hold. Get off you ass and get ready for the biggest freeging stock market rally since the end of World war II and the rebuilding fifties….

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One of World’s Greatest Hidden Fortunes Is Wiped Out in Days

Nick Bite: If he has got a hairy set of balls and brains he can have his fortune back in 6 months and double it in a year. This is where we separate the chumps from the Warriors. His trade rationale was right. Stock picks were brilliant. He just needs to beg borrow steal all he can and buy back in.. At half price…..

(Bloomberg) — From his perch high above Midtown Manhattan, just across from Carnegie Hall, Bill Hwang was quietly building one of the world’s greatest fortunes. Even on Wall Street, few ever noticed him — until suddenly, everyone did. Hwang and his private investment firm, Archegos Capital Management, are now at the center of one of the biggest margin calls of all time — a multibillion-dollar fiasco involving secretive market bets that were dangerously leveraged and unwound in a blink. Hwang’s most recent ascent can be pieced together from stocks dumped by banks in recent days — ViacomCBS Inc., Discovery Inc. GSX Techedu Inc., Baidu Inc. — all of which had soared this year, sometimes confounding traders who couldn’t fathom why. One part of Hwang’s portfolio, which has been traded in blocks since Friday by Goldman Sachs Group Inc., Morgan Stanley and Wells Fargo & Co., was worth almost $40 billion last week. Bankers reckon that Archegos’s net capital — essentially Hwang’s wealth — had reached north of $10 billion. And as disposals keep emerging, estimates of his firm’s total positions keep climbing: tens of billions, $50 billion, even more than $100 billion. It evaporated in mere days. “I’ve never seen anything like this — how quiet it was, how concentrated, and how fast it disappeared,” said Mike Novogratz, a career macro investor and former partner at Goldman Sachs who’s been trading since 1994. “This has to be one of the single greatest losses of personal wealth in history.” Late Monday in New York, Archegos broke days of silence on the episode. “This is a challenging time for the family office of Archegos Capital Management, our partners and employees,” Karen Kessler, a spokesperson for the firm, said in an emailed statement. “All plans are being discussed as Mr. Hwang and the team determine the best path forward.” The cascade of trading losses has reverberated from New York to Zurich to Tokyo and beyond, and leaves myriad unanswered questions, including the big one: How could someone take such big risks, facilitated by so many banks, under the noses of regulators the world over?

One part of the answer is that Hwang set up as a family office with limited oversight and then employed financial derivatives to amass big stakes in companies without ever having to disclose them.

Another part is that global banks embraced him as a lucrative customer, despite a record of insider trading and attempted market manipulation that drove him out of the hedge fund business a decade ago. A disciple of hedge-fund legend Julian Robertson, Sung Kook “Bill” Hwang shuttered Tiger Asia Management and Tiger Asia Partners after settling an SEC civil lawsuit in 2012 accusing them of insider trading and manipulating Chinese banks stocks. Hwang and the firms paid $44 million, and he agreed to be barred from the investment advisory industry. He soon opened Archegos — Greek for “one who leads the way” — and structured it as a family office. that exclusively manage one fortune are generally exempt from registering as investment advisers with the U.S. Securities and Exchange Commission. So they don’t have to disclose their owners, executives or how much they manage — rules designed to protect outsiders who invest in a fund. That approach makes sense for small family offices, but if they swell to the size of a hedge fund whale they can still pose risks, this time to outsiders in the broader market. “This does raise questions about the regulation of family offices once again,” said Tyler Gellasch, a former SEC aide who now runs the Healthy Markets trade group. “The question is if it’s just friends and family why do we care? The answer is that they can have significant market impacts, and the SEC’s regulatory regime even after Dodd-Frank doesn’t clearly reflect that.” Archegos established trading partnerships with firms including Nomura Holdings Inc., Morgan Stanley, Deutsche Bank AG and Credit Suisse Group AG. For a time after the SEC case, Goldman refused to do business with him on compliance grounds, but relented as rivals profited by meeting his needs. The full picture of his holdings is still emerging, and it’s not clear what positions derailed, or what hedges he had set up. One reason is that Hwang never filed a 13F report of his holdings, which every investment manager holding more than $100 million in U.S. equities must fill out at the end of each quarter. That’s because he appears to have structured his trades using total return swaps, essentially putting the positions on the banks’ balance sheets. Swaps also enable investors to add a lot of leverage to a portfolio. Morgan Stanley and Goldman Sachs, for instance, are listed as the largest holders of GSX Techedu, a Chinese online tutoring company that’s been repeatedly targeted by short sellers. Banks may own shares for a variety of reasons that include hedging swap exposures from trades with their customers. Goldman increased its position 54% in January, according to regulatory filings. Overall, banks reported holding at least 68% of GSX’s outstanding shares, according to a Bloomberg analysis of filings. Banks held at least 40% of IQIYI Inc, a Chinese video entertainment company, and 29% of ViacomCBS — all of which Archegos had bet on big. “I’m sure there are a number of really unhappy investors who have bought those names over the last couple of weeks,” and now regret it, Doug Cifu, chief executive officer of electronic-trading firm Virtu Financial Inc., said Monday in an interview on Bloomberg TV. He predicted regulators will examine whether “there should be more transparency and disclosure by a family office.” Without the need to market his fund to external investors, Hwang’s strategies and performance remained secret from the outside world. Even as his fortune swelled, the 50-something kept a low profile. Despite once working for Robertson’s Tiger Management, he wasn’t well-known on Wall Street or in New York social circles. Hwang is a trustee of the Fuller Theology Seminary, and co-founder of the Grace and Mercy Foundation, whose mission is to serve the poor and oppressed. The foundation had assets approaching $500 million at the end of 2018, according to its latest filing. “It’s not all about the money, you know,” he said in a rare interview with a Fuller Institute executive in 2018, in which he spoke about his calling as an investor and his Christian faith. “It’s about the long term, and God certainly has a long-term view.” His extraordinary run of fortune turned early last week as ViacomCBS Inc. announced a secondary offering of its shares. Its stock price plunged 9% the next day. The value of other securities believed to be in Archegos’ portfolio based on the positions that were block traded followed. By Thursday’s close, the value of the portfolio fell 27% — more than enough to wipe out the equity of an investor who market participants estimate was six to eight times levered. It’s also hurt some of the banks that served Hwang. Nomura and Credit Suisse warned of “significant” losses in the wake of the selloff and Mitsubishi UFJ Financial Group Inc. has flagged a potential $300 million loss. “You have to wonder who else is out there with one of these invisible fortunes,” said Novogratz. “The psychology of all that leverage with no risk management, it’s almost nihilism.” NB Its brilliant!

Nick Note: As you can see by the above chart these were great trades and now are bargains. Lets call this the Peking Duck trade. He got nailed by the news flow. My experience is if your fundamentals are right you hand on. Unfortunately he got caught overleveraged. leveraging is good. Leveraging is what millionaires do. OVERLEVERAGING MAKES YOU A BILLIONAIRE.

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Archegos-Linked Stocks Show Muted Gains as Volatility Subsides

(Bloomberg) — The stocks at the center of the Archegos Capital Management crisis posted gains in premarket trading as investors assessed whether the fallout from forced offerings has further to run. ViacomCBS Inc. rose 1.6% at 7:03 a.m. in New York following its weeklong plunge, with Discovery Inc. up 1% and Tencent Music Entertainment Group climbing by 1.5%. The American depositary receipts of Chinese companies Baidu Inc. and GSX Techedu Inc. also advanced, while Vipshop Holdings Ltd. gained 4% after announcing a $500 million buyback. Shares in the companies, which also include Farfetch Ltd. and Iqiyi Inc., have had a rocky couple of sessions following the forced liquidation of positions linked to Bill Hwang’s Archegos, with ViacomCBS down 55% in the last week. While investors remain nervous about the potential for more liquidations, there have been no signs yet of a broader contagion. “Market participants will be glad to see this has so far been contained — though there may be some more trades related to Archegos that need unwinding,” Neil Wilson, chief market analyst at Markets.com, said by email. “Banks left holding the bag — which look to be Nomura and Credit Suisse more than others — will suffer significant losses.” Shares in Credit Suisse and Nomura both extended Monday’s steep declines, with the lenders having warned of potential “significant” losses after an unnamed U.S. hedge fund client defaulted on margin calls. Credit Suisse fell 2.2% at 12:47 p.m. in Zurich trading, taking its decline for the week to 16%. Nomura shed a further 0.7% in Tokyo, following Monday’s 16% slump. Stocks valued at $2.64 billion changed hands in a flurry of block trades Monday. Five of them valued at a combined $2.14 billion were executed by Wells Fargo & Co., according to a person familiar with the matter. Separately, about 20 million shares of Rocket Cos. were sold through Morgan Stanley, people familiar with the matter said.Archegos broke its silence on the matter late Monday.

“This is a challenging time for the family office of Archegos Capital Management, our partners and employees,” Karen Kessler, a spokesperson for the firm, said in an emailed statement. “All plans are being discussed as Mr. Hwang and the team determine the best path forward.”

Kessler works at Evergreen Partners, which specializes in crisis communications and reputation management, according to its website. The U.S. Securities and Exchange Commission has been monitoring the forced liquidation in holdings linked to Archegos, a spokesperson said. Nick Note: You got to LOVE this guy!

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Archegos Capital Fire Sale Triggers Billions in Investment Bank Losses

Multiple media reports, as well as statements from at least two investment banks, put the Archegos Capital at the heart of a multi-billion sell-off on Wall Street.

Nomura  (NMR) – Get Report and Credit Suisse’s  (CS) – Get Report U.S.-listed shares plunged lower Monday after the investment banks said its exposure to an unnamed hedge fund could trigger a billions in loss as investors picked-through the debris of the Archegos Capital margin call. Credit Suisse Group  (CS) – Get Report, a Zurich-based investment bank that also has shares listed on the New York Stock Exchange, cautioned Monday that a “significant US-based hedge fund defaulted on margin calls made last week” on positions in unnamed stocks, adding that “a number of other banks are in the process of exiting these positions.” Media reports have named Archegos Capital as the hedge fund in question, with details emerging of a $10 billion to $20 billion position in so-called total return swaps (TRS) that allow a ‘buyer’ to receive running payments on a basket of reference shares without actually owning them. Archegos was also reported to have used ‘contracts for difference” or CFDs, which are similar to total returns swaps but only pay out at the end of a defined period.  Leverage was used to increase that exposure, which was based on U.S. and China-based media stocks including ViacomCBS VIAC, Discovery  (DISCA), Baidu  (BIDU) and Tencent Music  (TME), while the shares themselves were held by the banks, which acted as prime brokers New York-based Archegos.  “While at this time it is premature to quantify the exact size of the loss resulting from this exit, it could be highly significant and material to our first quarter results, notwithstanding the positive trends announced in our trading statement earlier this month,” Credit Suisse said in a statement.   “Nomura is currently evaluating the extent of the possible loss and the impact it could have on its consolidated financial results,” the bank said Monday, adding its current estimate is “approximately $2 billion based on market prices as of March 26” but is “subject to change depending on unwinding of the transactions and fluctuations in market prices.”  Nomura shares were marked 14% lower in pre-market trading in New York to indicate an opening bell price of $5.68 each. Credit Suisse shares slumped 11.8% to $11.35 each. With investment banks tapping near-zero interest rate liquidity from central banks around the world, many of their prime brokerage operations have been able to provide significant leverage to hedge fund clients, allowing them to boost exposure to stocks and other assets while ramping-up potential returns in the process. This may have allowed Archegos Capital and its founder, Bill Hawang, to build massive exposure to certain stocks without drawing the notice of market regulators, as the structure of a TRS doesn’t require disclosure of ownership in the underlying stocks. ViacomCBS shares, which were at the heart of the Archegos trade, began trading lower last week after the media group announced a $3 billion capital raising initiative. Tencent and Baidu, meanwhile, fell later in the week amid reports that the Securities & Exchange Commission was working through rule changes that could see some China-based stocks removed from U.S. exchanges. The losses triggered a margin call from various prime brokerage operations, including Nomura and Credit Suisse, that may have resulted in a massive ‘block sale’ of shares on Friday that was ultimately traced back to Archegos. ViacomCBS edged 1.6% higher in pre-market trading Monday while Discovery shares were last seen 5% higher at $44.00 each. Nick Note: Bankers are not traders. And the compliance and risk departments at banks are run by clerks who use to run the mortgage and car loan department. I have been  advising the one who talk to me to do nothing.  Take the loss on the quarter and hold the shares in the house account. In six months all these trades will be in BIG profits.These are all good companies. It was the leverage that blew up this trade, It started when Viacom announced a share offering that depressed the stock price. Then the book got hit again when the government announced a SEC review of China companies on the NY stock excahne. Baidu and Tencent amoung others got hit. These are all great companies and in the case of the Chins stocks they got 2 years to meet US accounting standards. Their is noting to worry about and nothing to do. All he had to do was raise more cash and WAIT … Do nothing. I am sure you have heard that from me before……… NEVER let a fucking banker leverage you book or hold the shares. They will shit it up every time…. For our trading this is the best news in the world. WHen they scratch their ass and figure out thee stocks like all NASDAQ shares are BARGAINS after the 10% CORRECTION we just had. AND and the NASDAQ will come alive as the US comes out of lock down……. I can’t wait… well that’s not true i will wait on thIS rally as long as it takes……..

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Credit Suisse warns of ‘significant’ losses from exiting hedge fund positions

ZURICH (Reuters) – Credit Suisse’s first quarter results could suffer a material impact after the bank started exiting positions after a U.S.-based hedge fund defaulted on margin calls it made, the bank said on Monday. “While at this time it is premature to quantify the exact size of the loss resulting from this exit, it could be highly significant and material to our first quarter results,” the bank said. Switzerland’s second biggest lender said the un-named hedge fund defaulted on margin calls made last week by Credit Suisse and other banks. A margin call is a demand from a broker to add more money to an account to cover potential losses. Following the failure of the fund to meet these margin commitments, Credit Suisse and a number of other banks are in the process of exiting these positions, Credit Suisse said. Credit Suisse said it would provide an update on the matter in “due course.” The warning is a further blow to the bank which is considering compensating investors hit by the collapse of funds linked to insolvent finance firm Greensill. The Swiss lender this month closed around $10 billion of supply-chain finance funds that bought notes from Greensill. Of this, $3.1 billion has so far been repaid and more than $1.2 billion in cash remains in the funds, leaving more than $5 billion outstanding. Nick Note: with a little bit of luck AND a lot of lucky guessing we may be able to turn these overleveraged hedge funds wiping out into a great big ugly bear trap. Won’t that be fun……. You don’t know how to to that? its OK because id do. Its called fucking them coming and going.. BlackJack

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Nomura flags potential significant loss at U.S. unit

https://youtu.be/FbN9zs24Eb0

TOKYO — Nomura Holdings Inc said on Monday it discovered a case that could subject one of its U.S. units to “a significant loss” arising from transactions with a U.S. client.  The estimated amount of the claim against the client is approximately $2 billion based on market prices as of March 26, the Japanese brokerage and investment bank said in a statement.   Nomura said it is still assessing the impact of the loss on its consolidated earnings. Nick Note: This is spreading. A little birdy tells me its not just one Hedge funds that is in meltdown and up to 5 financial intuitions  have taken a major  mulit billion dollar hit. As we have been reporting for some time now our beloved stock indices have been highly manipulated. That unsuccessful velocity breakdown to the downside and reversal at the start of the month took a trillion dollars. It failed as their was no floolwthrough. Markets are nervous and as of yet we do not know what the hedge funds books that are blowing up look like. I got a feeling some big shot Wall Street mathematicians will be back at their almamarter teaching freshman statics classes. This is not over.AND AND AND i do not believe it involves buys in NASDAQ stocks. In fact my sniff is it MAY take off the selling pressure. The last few months the boys have been beating the band and pushing their high net worth types into overseas stocks especially China. That made me very suspicious. My rule number 6  hedge fund manager: Never leverage your trading capital by borrowing money… Another conflict i had with associates. It will take some time to unwind  this hedge fund growing  mess. Remember when funds have a blow up their loan commitments the lending contracts kick in.  This  means that their lenders take over the trading  book. The last person in the world you want managing a hedge fund especially in a crises is a rules based banker and their risk department full of millennial, bitches and snot nosed prep school boarding schoolboys. My sniff here is i think the hedge funds originally did a bear bull spread. A very dangerous strategy. But its a good way to make a HIGH risk trade look benign. I have tried them and can tell you i was lucky to break even. The way this works is they may have gone long Asia high tech shares mostly out of China and short US tech stock shares on the NASDAQ. Something is fishy in CHINA. Remember when Jack Mouw disappeared? Also China’s recovery has occurred without a vaccinated population…. very strange. Cost to ship a 40 foot container has gone from $800 to $8,000. And do not forget the chip shortage…… again ALL very strange. Chip supply line have collapsed with no inventory available from  Teir 2 Chinese workhorse chip manufactures. These are low tech  embedded processors doing very specific jobs. Like controlling your anticlok breaks or your microwave oven.  Also some chips in cell phones are coming up short like the WIFI module….. All very strange.

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Large block trades that caused selling raises questions about cause

https://youtu.be/rdS0X3kWaQM

(Reuters) – A number of large block trades on Friday which investors said caused big drops in the stocks of a clutch of companies has raised speculation about what was behind them, with Goldman Sachs said to be a bank involved in the sales. Shares in ViacomCBS and Discovery tumbled around 27% each onFriday, while U.S.-listed shares of China based Baidu andTencent Music plunged during the week, dropping as much as 33.5%and 48.5%, respectively, from Tuesday’s closing levels. Investors and analysts on Friday cited large blocks ofshares in both Viacom and Discovery companies as being put inthe market on Friday, calling them massive volumes, likelyexacerbating the declines. Viacom also on Friday was downgradedby Wells Fargo. A source familiar with the matter said on Saturday thatGoldman Sachs Group Inc was involved in the large blocktrades. Bloomberg and the Financial Times on Saturday reported thatGoldman liquidated more than $10 billion of stocks in the blocktrades. The Financial Times reported that Goldman toldcounterparties that the sales were prompted by a “forceddeleveraging”, citing people with knowledge of the matter. CNBC reported that the selling pressure was due to liqudation of positions by family office Archegos Capital Management, citing a source with direct knowledge of the situation. A person at Archegos who answered the phone declined to comment. Archegos was founded by Bill Hwang, who founded and ran Tiger Asia according to a page capture of the fund’s website. Tiger Asia was a Hong Kong based fund fund https://www.reuters.com/article/togerasia-hedgefund/update-1-hedge-fund-tiger-asia-to-return-investor-money-idUKL4E8JE2XP20120814 that sought to profit on bets on securities in Asia. An email to clients seen by Bloomberg News said Goldman sold $6.6 billion worth of shares of Baidu Inc, TencentMusic Entertainment Group and Vipshop Holdings Ltd, before the U.S. market opened on Friday, the Bloombergreport on Saturday said. Following this, Goldman sold $3.9 billion worth of shares inViacomCBS Inc, Discovery Inc, Farfetch Ltd, iQIYI Inc and GSX Techedu Inc,according to the report. The Financial Times reported that Morgan Stanley sold $4billion worth of shares earlier in the day, followed by another$4 billion in the afternoon. Morgan Stanley and Goldman Sachs declined to comment.

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Highly Leveraged Hedge Fund Have Imploded: Some Stocks Remain Heavily Discounted

  • Shares of ViacomCBS, Discovery fell as much as 35% Friday
  • Goldman Sachs offered very large block shares of ViacomCBS Friday afternoon – Sources
  • Multiple prime brokers sold shares aggressively Friday afternoon
  • Archegos typically employs high leverage on its stock positions
  • ViacomCBS earlier this week conducted large secondary offering

Hedge Fund Rumored to have gotten margin called; Forced to Liquidate over 30 Billion in assets; Some stocks heavily discounted. Over the last week, some stocks experienced sudden, extreme sell pressure: $BIDU, $IQ, $TME, $VIAC, $VIPS, $YY This is rumored to be caused by forced liquidation from one highly leveraged hedge fund: Archegos Capital. A liquidation of holdings at several major investment banks with ties to Tiger Cub Archegos Capital Management LLC contributed to an unseen daily decline Friday in shares of stocks including Discovery, Inc. and ViacomCBS Inc., according to people familiar with matter. Shares of media conglomerate ViacomCBS fell 26% while Discovery dropped 27% Friday, recovering from far steeper losses. The degree of the declines was unprecedented and occurred in an otherwise orderly market. Early selling came through so-called block trades from Goldman Sachs & Co., which offered over 30 million shares of ViacomCBS in midday trading. Morgan Stanley, earlier in the day, offered over 15 million shares of Discovery, according to people familiar with the matter.

The common thread is defunct Tiger Asia Management LLC founder Bill Hwang, who now runs Archegos Capital. His fund was and may still be an large owner of shares in both ViacomCBS and Discovery. Mr. Hwang did not respond to phone calls, emails, or Bloomberg messages sent by IPO Edge. Mr. Hwang’s fund is known employing leverage, meaning it borrows to invest in more securities than it could own with its own capital. One person familiar with the matter said Mr. Hwang’s fund received a margin call from one of the investment banks – not necessarily Morgan Stanley or Goldman Sachs – and was unable to meet it. As a result, that bank and others began to liquidate stocks owned by Archegos. Several other stocks swooned Friday for no apparent reason, but may be related to Mr. Hwang’s fund, which focuses on telecom, media, and technology, or TMT. Nick Note: You have been in a war with hedge funds trying to take the market against the grain. As i have been warning you these assholes are not almighty. They get margin calls too. Its a war of attrition. How long can we hold our positions is critical. If we would have spread this trade we would have played into their hands. When i declared the bottom… That is when their  algorithms threw in desperation hundreds of billion trying to sink the market. That was on March 3, where the low was put in at 12200. I declared that a bottom.  I can tell you i got death threats, because on no small part my getting you to hold and BUY we fucked them good.  Its was a forced 10% correction that failed.

They were counting on a continued drop of a 20% . A EPIC CORRECTION THEIR ALGOS WERE PREDICTING.  i GOT YOU TO NOT ONLY HOLD BUT BUY MORE. AND IT FUCKED THEM GOOD!

How many times do i have to scream at you that was a bottom….. and rob a bank. This is where millions are made in a trade. You might notice we went dark… WHY because whether you realize it or not the Hedge Funds know what a great danger we are to them. We keep a hold in the market when they are desperately trying to blow them out. Look you are seeing many MANY 100 billions of hedge funds entering forced liquidation. And guess who is their enemy….. Who else told you about this ahead of time…. Charles Schwab? Etarde?…. How about Raymond James? Did Fidelity give you a call? People on the inside new.  And I new and told you the bottom was in documented and signed my name to it!  they are keeping things very quiet. Friday was a blow up. Billions hundreds of billions of Hedge fund trades are underwater and facing FORCED liquidation which is what you saw STARTING  on Friday. What you saw was shorted against our trades being liquidated…… Forced liquidation on the close and for a fact it was record liquidation. I new, so why do i have to suffer when i am the ONLY one giving you a seat at the table. This will be one of the greatest trades ever… And your sitting their doubting me……. And yes their will be volatility… SO!

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Dow up 450 pts at close amid recovery hopes

  • US stocks closed higher on Friday buoyed by optimism over the pace of vaccinations.
  • Risk appetite returned as a heightened pace of the vaccine rollout promised by President Joe Biden suggested the economy was headed for a reopening.
  • Oil prices edged higher following news that it could take weeks to dislodged the container ship blocking the Suez Canal.

The Dow Jones industrial average led US stock higher Friday as optimism around the economic recovery was boosted on the back of an accelerated pace of COVID-19 vaccinations. The Dow closed higher by over 450 points. Thus far, 25.7%, or 85 million Americans have received at least one dose of the vaccine and 14% or 46.3 million have received two doses. President Joe Biden pledged this week to double his administration’s original goal to 200 vaccine doses in by his 100th day in office. Energy producers and health care companies outperformed their peers on the last trading day of the week. Bank shares also rose after the Federal Reserve Thursday afternoon announced that banks can raise dividends and resume share repurchases after June 30.Here’s where US indexes stood at the 4 p.m. ET close on Friday:

Nick Note: Here is where market intelligence is so important. To gain the aforesaid intelligence takes resources, money and analysis. Nothing in the above story is anything that has not been in the markets for weeks. Here is the real story. Hedge funds are no longer traders… But market manipulators. They are not using their vast resources to analyze economic data. That is a failed model. Year over year the vast majority of hedge funds lose money or at beast return the 10 year treasury rate. The problem is the pool of talent has been reduced to PC correct people with a lefty grenniewinne LGBT agenda. Hiring people because they are Gay of color,  perceived as oppressed minorities, under paid and under represented females does not necessary give you the best talent pool. SO hedge funds have become market manipulators. Unfortunately that only works for a short time. Take the trade we are in. Fundamentally we are in a massive restart of the global economy. Their is no discussion its a facy. In no small part due to two things. First the miracle of the mRNA vaccine…. a game changer. Second MASSIVE and i mean Massive stimulation efforts by the G20 countries.  Add to this the greatest savings rate  and record cash on the sidelines its not rocket science to see what is coming. I the meantime here comes the hedge funds to go against the fundamentals. By using their massive leverage and vast computer market execution resources and their media footprint to create massive internet media spin they have been able to stall the stock market rally. Key word here is temporarily stall the rally  by creating market uncertainty and confusion among  investors. Now a unenlightened person might consider that as bad. But au contraire, its the best situation in the world for us. It means we have gotten lower priced positions and and and it insures a bigger faster upside rally. Now as to Fridays market action. Price discovery is an important part of what we do. Not only the price but how the market arrives at that price. Often times this is farm more important then daily or even monthly swings. Fridays market is a concurrence of key events and once again demonstrates the present sorry state of the Hedge funds. They have become little more than temporarily driven market manipulators. Hedge funds employ massive computers to enable them to simply manipulate markets. using algo based high frequency trading. The present manipulation gave us the KEY beginning of March 10% correction and the long term market bottom. The violet swings we are now seeing in stock indices are a classic bottoming event. Now stay with me here. The majority of traders from a ethnic stand point are disproportionately JEWS… Like it or not, PC correct or not that is the fact. And the majority of advanced mathematicians are disproportionately Jews. See we have a massive advantage by being free of PC stupidness. Spain became a world power because it defied the PC of the time that the world was flat and the earth was the center of the universe. By understanding the world is round and the sun is the center of the universe navigation to the new world was possble. Wall Street is hand strung by the PC correct trading and hireing people of color, females at the switch, equally pay equal power LGBT PC correct employment and Grenniewinnie trading strategies… PC on Wall Street makes their quest for long term profits a failure… Political agenda trading is a recipe for failure. Putting people in control with a profound lack of talent to right perceived social  wrongs is a feel good useless stratagey. Besides being a stupid narrative for sure. But insider knowledge free of PC constraints  gives us GREAT success and trading edge. If you hire PC correct people and not the best talent your results will suffer. Now back to Fridays price action. It is settled business that hedge funds are taking the market against the grain and desperately attempting to stall the inedible massive coming stock market rally. To facilitate the aforesaid manipulation they are using algorithm based high frequency trading in a desperate attempt to keep a lid on this market as long as possible. Most of the trades are super computer algorithm driven trades. And the reality is most of the people running these hedge age funds are not market analysis but mathematicians. High level PHD types who are disproportionately Jews.  And this weekend is Passover. Outside of Israel Passover is two days Sunday and Monday. Many of these algo traders are religious enough that they will not work the Sunday Night session and will miss all of Mondays day market. So they neutralized their trade book on Fridays close as i expected. And you saw the rally on the close. This is really good for us because it proves the hedge fund manipulation and the fact that their manipulation will soon fail. Now do not misunderstand the Jewish component. I owe my success as a market analysis to JEWISH mentors who realize i was gifted and took me under their wing. From Herbie Gutstein , to Abe Gerstein, to Tom Rubin  to  Danny Rosenthaw to Milton Freeman to name a few. i found my Jewish mentors to be brilliant,  incredible generous,  giving  people.  To my antisemitic  Nazi friends. You are right about one thing. You should fear the Jew  he will fuck you in ways you cannot imagine… it will not be a fair fight!. They have defeated their enemies throughout history conquering every mighty empire…… And mostly by trickery. The latest your blood brother Adolph. The Jew is smarter then the majority of people on the planet, better funded.  better educated, far more manipulative and i believe blessed by GOD. They do dominate science, medicine, economics, banking and the legal profession. While the masses teach their kids nothing useful. Who are usually raised in poverty by a desperate mother (also a fuck up) alone who is powerless to stop them from fucking, fucking up and getting stoned. The Jew (among the most prosperous) marry, discipline and force their kids into business and/or higher education…….. As a foot note their are many very smart Jewish fundamental analysts usually trading private trade books.