Fed Permanent Open Market Operations (POMO)

[superfrank]

Shorting The Market On These POMO Days May Be Hazardous To Your Health
http://www.zerohedge.com/news/2013-01-3 ... our-health

Urban Dictionary: POMO
http://www.urbandictionary.com/define.php?term=pomo

Short for Permanent Open Market Operations.

The mechanism by which the Federal Reserve manipulates the stock market.

It is no secret that the Federal Reserve, and its now semi-daily interventions in market liquidity via POMO, is rather hell bent on creating the illusion that the economy is alive and well courtesy of a ramping stock market.

[superfrank]

US Treasury Finally Admits The Truth: It's All POMO (And "No One Dares Fight The Fed")
http://www.zerohedge.com/news/2013-08-1 ... -fight-fed

So, thanks to the US Treasury, we know that between January 2009 and April 2013, on days in which the Fed POMO was more than $5 billion, the stock market rose a total of 570 points or 54% of the upmove, on days in which the POMO was between $0 and $5 billion, the stock market gain was "only" 141 points or 15% of the upside, and when there was no POMO, the S&P gained... -51 points.