A new dynamic in the market to consider

There is a new dynamic traders need to contend with.

In the past, presidents would wait for the market to close to make policy statements and speeches that might have an effect on the markets.

It seems, President O'bama makes these statements whenever he wants with little regard to the markets. His office announces an upcoming pronouncement and the market stalls until his remarks become known.

I'm not a big one on conspiracy theories, but this has the effect of giving some individuals or institutions a sizable advantage.

I suggest anyone trading the indexes to be aware of this new "Oval Office Effect" that causes periods of sideways movement and then reaction.

This isn't anything new. Bush used to regularly hold press conferences during the day session. Just about every time he was on the podium, the market would sell off a few points. I don't recall it ever rallying. This is just my subjective assessment.

Originally posted by ETM

This isn't anything new. Bush used to regularly hold press conferences during the day session. Just about every time he was on the podium, the market would sell off a few points. I don't recall it ever rallying. This is just my subjective assessment.

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Then the thing to do is use this as an indicator for market direction for the time the president speaks .. When Ben B. speaks I always look short ...

You are correct about press conferences, announcements are different.

There is a difference under the current administration. If you go back and plot the times of presidential announcements, you will find they are all currently happening during market hours. In the past that didn't happen nearly as often. I have no insight into why this is happening, only the effect they are having on traders.

Again, this is not a conspiracy theory rant, just an observation I thought would interest others.

Look @ 6e when Draghi started to speak @ 8:30 this a.m.

9:30amet 2/12/13 EUR
ECB President Draghi Speaks

Ben B. & Draghi both speak today ...

Originally posted by ETM

This isn't anything new. Bush used to regularly hold press conferences during the day session. Just about every time he was on the podium, the market would sell off a few points. I don't recall it ever rallying. This is just my subjective assessment.

Obama is on TV right now. When he took the podium, the S&P was 1513.50. It promptly fell to 1509.25.

One of these days, I'm gonna short Obama.

One of these days.

And Airport is on AMC. Airport 1975 is coming on at noon. If that's not ominous, I don't know what is.

Press conference this am, be alert!

Originally posted by beyondMP

Press conference this am, be alert!

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Is that what sent the dollar down ..

http://www.reuters.com/article/2013/05/01/us-markets-forex-idUSBRE93E00320130501