Funds Continue To Exit Grains
What's got Tarquin and Co pooping their pants this time seems to be a combination of factors, most of which have little to do with market fundamentals.
Firstly, we have the shameless but predictable fiscal cliff "deal" which was nothing more than a postponement of a fixture still to be replayed in the not too distant future. And what, pray tell, was Obama doing on his bloody holidays in Hawaii anyway knowing full well that he'd gone away and left the gas on?
Secondly, we have the US debt ceiling issue, which has still to be resolved, amidst talk that US Treasury Secretary Timothy Geithner may step down at the end of the month just before the brown smelly stuff gets liberally distributed around the room.
Thirdly, we now have vibes that the Fed is cooling on it's hitherto laid-back approach to printing money and flushing it down the toilet, or quantitative easing as it's otherwise known.
Not that I have a problem with Tarquin and Co pissing off with their lorry loads of cash to go and play somewhere else you understand. I'd rather they weren't in the market at all ever. Full stop.
Please, do not email me to tell me that they provide market liquidity or that they cannot influence price direction as for every buyer there must be a seller and vice versa or I will set Nogger's Dog on you.
The problem I have is that we know full well that the market will welcome these guys back like the return of the Prodigal Son at some undetermined point in the future.
Whether that is next week, next month or next year only Tarquin knows.
Meanwhile, don't worry about Obama, he's flown back to Hawaii to resume his interrupted jollies lauding his negotiating skills in obtaining the fiscal cliff "deal" as the fulfilment of an election promise to tax the rich.
You couldn't make it up could you? No wonder Tarquin has a dose of the Tom Tits with this guy at the helm.
I only hope that Obama remembered to switch the gas off and cancel the milk whist he was back. I also wonder idly what he'd do, if upon his return to Hawaii, he finds Michelle sporting a brand new pearl necklace with her bikini top unhooked and getting her suncream rubbed onto her a little too enthusiastically for his liking by one of the locals?
