Stocks Up, Bonds Up, Dollar Up, VIX Up

Tyler Durden's picture

Treasuries close today at the low yields of the week (down 11bps) but equities were not going to take any notice of that and pushed to hold green for the week (with the Dow and TRAN outperforming). S&P futures managed to touch the underside of their uptrend once again but not break back into it. Financials and Energy ended the week -0.5% while Discretionary rallied 1.5%. VIX ignored equity's strength and rose around 1.5 vols (with a notable bearish divergence into the close). The Dollar gained 1% on the week against the majors - helped by JPY's rapid sell-off today. This USDJPY shift today was the algo driver for stocks as everything else decoupled. Gold and the S&P 500 recoupled on the week. Credit markets in general tracked stocks but high-yield started to slide into the close. WTI was the worst commodity on the week, down 2.3%, as Silver and Gold lost around 0.5%. It seems only US equities know something about the weekend as everything else in Europe and US was decidedly not playing along.

 

S&P 500 futures tested up to the under-side of their up-trend channel (and stalled)... click image for large chart


Gold and Stocks recoupled but Bonds went out at their high price/low yield...

 

as is made very clear in this chart - Stocks could not hold gains above gold's on the week...

 

The USD ended at its highs (inverted on the chart) and clearly today was all about USDJPY for stocks...

 

VIX also ignoring equity's exuberance as hedgers bid for protection...

 

The indices managed green closes for the week...

and the S&P sectors ended very mixed with Discretionary doing very well...

 

Credit markets were reracking with stocks but HYG rallied in the afternoon (narrowing the gap with stocks) - but the last few minutes saw it go full retard...

 

FX markets were very noisy on Friday pushing the USD up 1% on the week as JPY gave back the week's gains...

 

Charts: Bloomberg and Capital Context

 

Bonus Chart: AAPL fell 2.5% today, pushing down to fill the gap from last January...