Sell it All!

It may sound panic-stricken, but the foolishness of the Fed has given us no other option. Sell it all, stocks, bonds, gold and silver and even real estate. Nothing is exempt from this Fed’s foolishness. Heading into the critical FOMC meeting yesterday, we said the Fed had better fix this mess by backtracking on its “tapering” comments, as it became clear over the last month that the market would not have it. Instead, the Federal Reserve Chairman said in his press conference that the Fed would likely begin tapering later this year and conclude its asset purchase programs sometime in 2014.

It was precisely the wrong message, and the market will not have it. It is premature and will leave the still ailing real estate market in the lurch. By the time the Fed realizes its mistake, this economy will likely be in recession; real estate prices could be falling again; gold and silver will be lower on the pull back of capital creation; and stocks and bonds will have given back much if not all of their year-to-date gains. The economy is in far worse shape than the Fed’s inflated forecast shows. Sell it all! Go to cash! The last two days of decline represents just the beginning of a new paradigm for securities. For more in-depth analysis and research visit our stock market blog.

Our founder earned clients a 23% average annual return over five years as a stock analyst on Wall Street. "The Greek" has written for institutional newsletters, Businessweek, Real Money, Seeking Alpha and others, while also appearing across TV and radio. While writing for Wall Street Greek, Mr. Kaminis presciently warned of the financial crisis.

Sell

Market ETF	June 20 12:42 PM	Year-to-Date
SPDR S&P 500 (SPY)	-1.4%	+13.2%
SPDR Dow Jones (DIA)	-1.3%	+14.2%
PowerShares (QQQ)	-1.6%	+9.9%

Economic Events

The Weekly Initial Jobless Claims report for the week ending June 15 showed weekly claims increased by 18K, to 354K. Economists expected claims to rise to 340K this week. The 4-week moving average increased by 2,500 last week, to 348,250.

The Conference Board published its monthly Leading Economic Indicators (LEI) Index for May today. The LEI increased by 0.1% in May, versus economists’ expectations for a 0.2% improvement. The prior month was revised higher to a 0.8% increase, from the 0.6% increase initially reported.

The PMI Manufacturing Index flash reading reported this morning fell by a tenth of a point to 52.2, from its final May reading of 52.3. Economists had expected the index to improve to 52.7 in its mid-June reading.

The Philadelphia Federal Reserve’s Business Outlook Survey measures the regional manufacturing mood. The report for the month of June surprised today, posting a sharp index improvement to a mark of 12.5, from -5.2 in May. Economists only expected the index to gain to -1.0.

Existing Home Sales data were reported for the month of May today. Sales rose to an annual pace of 5.18 million, from 4.97 million in April. The increase was better than the 5.0 million pace economists had expected, but given the rising trend of interest rates, this data offers no solace today to homebuilder shares.

The Bloomberg Consumer Comfort Index, a weekly measure of the consumer mood, gained by 1.9 points on its way up to -29.4 this week. The gain followed last week’s sharp decline. Expect the nascent stock market drop to affect the consumer mood in the weeks to come.

The House Ways and Means Committee is having a hearing on the status of the Medicare program, as stated in the 2013 Medicare Trustees report.

Overseas Markets

EUROPE	CLOSE	ASIA/PACIFIC	CLOSE
EURO STOXX 50	-3.6%	NIKKEI 225	-1.7%
German DAX	-3.3%	Hang Seng	-2.9%
CAC 40	-3.7%	S&P/ASX 200	-2.1%
FTSE 100	-3.0%	Korean KOSPI	-2.0%
Greek ASE	-3.7%	BSE India SENSEX	-2.7%

Euro-zone finance ministers are in Luxemburg discussing the financial crisis. Russia is hosting an International Economic Forum in St. Petersburg. Markets in Argentina are closed today. The Swiss National Bank issues its latest monetary policy.

Commodity Markets (12:21 PM ET)

WTI Crude	-2.8%
Brent Crude	-3.1%
NYMEX Natural Gas	-2.5%
RBOB Gasoline	-2.8%
Gold Spot	-4.7%
Silver Spot	-7.5%
COMEX Copper	-2.8%
CBOT Corn	-1.2%
CBOT Wheat	-0.0%
CBOT Soybeans	-1.5%
ICE Cocoa	-2.5%
ICE Sugar	-2.8%
ICE Orange Juice Conc.	-0.3%
CME Live Cattle	-0.4%

The EIA’s Natural Gas Report for the period ending June 14 showed working gas in storage increased by 91 Bcf. Stocks were 559 Bcf less than last year at this time and 47 Bcf below the five-year average for this time of year.

Corporate Events

Facebook (NYSE: FB) is holding an event today to present a new product, which is rumored to be around its Instagram platform. Tesla (Nasdaq: TSLA) has its battery pack swap demonstration this evening. The corporate wire has the annual meetings of Best Buy (NYSE: BBY), PVH (NYSE: PVH) and ARIAD Pharmaceuticals (Nasdaq: ARIA). Eastman Kodak is seeking bankruptcy court approval for its $2.8 billion U.K. pension plan settlement. In-flight Internet service Gogo is pricing 11 million shares at $15 to $17. MillerCoors (NYSE: TAP) is having its divisional investor seminar in London. The earnings schedule has news from American Software (Nasdaq: AMSWA), Kroger (NYSE: KR), Methode Electronics (NYSE: MEI), Oracle (Nasdaq: ORCL), Pier 1 Imports (NYSE: PIR), Rite Aid (NYSE: RAD) and TIBCO Software (Nasdaq: TIBX).

Today’s biggest gainers and losers are:

BIGGEST GAINERS	% Gain	BIGGEST LOSERS	% Drop
On Track Innovations (Nasdaq: OTIV)	+16%	Pingtan Marine (NYSE: PME)	-47%
VelocityShares 3X Inv.Slv (Nasdaq: DSLV)	+19%	Ebix (Nasdaq: EBIX)	-41%
Prima BioMed (Nasdaq: PBMD)	+19%	Micronet Enertec (Nasdaq: MICTW)	-26%
Direxion D Gold Min Bear (Nasdaq: DUST)	+19%	VS 3X Long Slv (Nasdaq: USLV)	-20%
PS DB Base Met Shrt (NYSE: BOS)	+18%	Direxion D Gold Miners Bull (Nasdaq: NUGT)	-19%
PS Ultra Shrt Slv. (NYSE: ZSL)	+13%	Retail Opportunity Inv. (Nasdaq: ROICW)	-14%
PS Trust Ultra VIX (Nasdaq: UVXY)	+12%	Rio Alto Mining (Nasdaq: RIOM)	-16%
Ligand Pharma (Nasdaq: LGND)	+13%	Sibanye Gold (Nasdaq: SBGL)	-14%
Magyar Bancorp (Nasdaq: MGYR)	+13%	DAQQ New Energy (NYSE: DQ)	-14%
VS D 2X VIX Short (Nasdaq: TVIX)	+12%	VS 3X Long Gold (Nasdaq: UGLD)	-14%

Other Reports for Your Review:

Tesla’s Musk, No Sleep ‘til Mainstream
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Please see our disclosures at the Wall Street Greek website and author bio pages found there. This article and website in no way offers or represents financial or investment advice. Information is provided for entertainment purposes only.