The Lehman Moment

"Surely no one with their head up their own ass saw that coming"

The Idiocracy got caught with their pants down, too busy telling themselves how exceptionally immune to reality they are because they print money...

"It was a bad time to be in a Third Wave at all degrees of trend, totally unhedged"
Dow with average stock:

The door just closed to the Hotel Californication. Anyone not already hedged is fucked company, because the cost of hedging just exploded out of reach:

Binary Risk Visualized: The cost of hedging (VIX) rose the most ever for a single week:
Below is the VXO, which tracks S&P 100 options and has been trending higher for an entire year, tracking the collapse of CasinoConomy below:

Dow with VXO (S&P 100 options volatility)

"Look Ma, no hedging: The Fed will buy my stocks"
Swan diving into pavement. Well it's someone else's money anyway...

Meltdown well underway, do not disturb the stoned zombies...

Selling picked up at the end of the day. No sign of capitulation...
TRIN measures selling pressure based upon the ratio of down / up volume

ZH: Aug. 21, 2015

Emerging Market Currencies were obliterated:

MW: Aug. 21, 2015
Fed Reserve Member James Bullard: September rate hike still on the table

"In an interview on Sirius XM, Bullard not only said the Fed needs to hike rates, but added he disagreed with the market’s gloomy outlook for the global economy."


One for the ages