‘Hell will break loose’ if Fed loses patience, by Shawn Langlois

It’s tense times in the trading pits these days.

While a calm often settles over markets in the days leading into a hyped-up Fed statement, recent action says to gird for more rockiness. Dips are being bought and profits are being scalped.

Yet for all the sparks flying on the S&P, its up only 1% so far this year. That’s better than down, of course, unless you’re betting the “don’t pass” line. But compare that with the 24% explosion to the upside on Germany’s main index.

Shanghai, while no Germany, is also doing better than U.S. stocks, and a tandem of brokers are feeling the bull run in China has a long way to run.

Nevertheless, the U.S. is still firmly entrenched in its own bull party, despite recent queasiness. In fact, we’re just about 2,200 days into it. Another two months, and this bull market will overtake the one from 1974-1980 as the third-longest since 1929, according to Bloomberg.

If we find out this Wednesday that Janet Yellen is not, in fact, patient, hell will break loose. If Janet is patient and says so, we’re all going to make an absurd amount of money.

Germany’s DAX knocked out another record on Monday, making for its 26th this year. Europe SXXP isn’t doing much follow-up so far, so No. 27 is on ice for now. Back in the States, futures on the Dow and the S&P are in negative territory.