Well my fellow Slope-a-Dopes, it seems EP 67.0 (Stroking Hell Fires) is in full force, yet the bulging erection will not stand for long. The high pressure QE enlargement pump has raised the limp candle stick once again, but how far can it gap up? We all know that the synthetically induced Viagra effect will eventually wear off, at which point the engaged Greek Goddess pictured above will quickly lose her grip and all interest in the phallic stone object. The well endowed Mr. Market will reach peak orgasmic heights early into the week, only to rapidly deflate as he pulls out towards the end of the week. Blow me!
BDI must spend some "quality" time with his very own Hellenic Goddess this weekend (Editor's note: clearly even BDI makes time to get freaky), so this will be brief. My take on next week goes as follows:
The final Greek election results, no matter how they turn out, will provide welcome relief as markets hate uncertainty. Contrary to all the fear mongering, should the hard left win big, be advised that Alexis Tsipras has never once stated that he wants out of the EZ / EURO. On the other hand, if the vote is very close, be advised that PASOK & ND have openly stated that they are willing to join forces. So you see, a new ruling coalition will be formed one way or the other, and thus the EU technocrats will finally be able to negotiate/re-negotiate the bailout package once and for all. However you want to slice it, extend & pretend will be the final product, and traders will be "reassured" for the moment. The market will positively reflect this long awaited conclusion by Monday afternoon.
Next up, the G20 meeting in Los Cabos, Mexico. This highly anticipated meeting of the great minds of our times, will generate much fiesta fan fare at first. New global growth initiatives & spending pledges will be boldly announced for all the world to go gaga over. And most importantly, the long overdue critical programs / timelines for further EU fiscal & financial consolidation will be loudly proclaimed as the new Messianic commandments which will rescue the entire globe from all evil & harm. Again here, equity traders will act with over exuberance at all this "wonderful" news. The market should continue to lurch forward Tuesday in a herky jerky manner as each grand gesture is made public. Having Benny Big Bucks on deck won't hurt either.
Hump day morning we will wake up in a fog, with a heady hang over from the previous 48hrs of non stop partying. By high noon, we will crawl our way back to the restaurant bar hoping that Benny the bald bartender will open the doors early, offering up a copious QE brunch served with tall spicy Bloody Marys loaded with Grey Goose liquid vodka, all garnished with a large lemon twist. Later that afternoon however, after having stuffed our selves silly and having slurped down six of those sizeable spiked tomato juices, we will begin to feel very queasy indeed, ending our three day binge on our knees with our heads buried in the toilet, disgorging all the over indulgences before we can pee.
So you see Dopes of Hope, our raging bull hard on to 1360 will not last the week.
Evil Plan 69.0…..will cut your sex drive right back down to size towards 1269.