VIXtermination Sends Stocks To All Time High On Lowest Volume Of The Year As Bond Yields Tumble

Tyler Durden's picture

This is what we said this morning:

For now equity futures have failed to be   dragged along although with the S&P all time high just around the   horizon, the psychological level of 1900 staring the rigged market in   the face, and the weekend just around the corner, it is virtually   assured that the S&P will close at an all time high today - after   all the people need to be confident when they go shopping at malls with   money they don't have (but delighted by paper profits they haven't   booked) so they boost the US non-GAAP GDP (at least before like Italy,   the BEA too changes the definition of GDP to include cocaine and   hookers). Finally, assuring a (record?) low-volume levitation today is   the early closure of the bond pit ahead of Memorial Day holiday which   also means only a skeleton crew of algos will be frontrunning each other   to push the S&P over 1,900.

Everything turned out precisely as predicted. Summing it all up perfectly - VIX closed at 15-month lows, Russell 2000 had its best week in 3 months, and Treasury yields are 13bps lower than when the S&P was last here... un-rigged.


The Russell 2000 rallied all the way back to unchanged for May - Mission Accomplished


Mission Accomplished 2.0 - S&P 1900 close


Mission Accomplished 3.0 - Dow and Nasdaq back to green for 2014


On the week...


And since the last time the S&P hit record intrday highs...


Who could have possibly know that stocks would wait for the bond police to close before they melted up in the last few minutes...


VIX was in charge - but note just how noisy VIX has become - desk chatter is that "things feel fragile" in vol-markets...


And a glimpse at the intrday shows the moment the bond market closed.. the VIX-hammering began...


And USDJPY did its part bouncing off the 200DMA...


But bonds closed 0-3bps lower in yield on the week...


And 13bps from the highs when the S&P was last trading here...


FX markets were dominated by JPY weakness from mid-week Boj jawboning and Aussie weakness after crappy data early in the week - leading the USD up 0.38% (for the 3rd week in a row)


Gold, silver, and copper all closed the week practically unchanged with WTI crude +1.7%


Charts: Bloomberg

Bonus Chart: Year to Date - Oil just became the best performing asset classover takinbg bonds and gold...


Bonus Bonus Chart: Growth has rallied back to unch relative to Value for the year...

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Theta_Burn's picture

....with shorts at an all time high

What a shocker

StacksOnStacks's picture

This is really great!  Come over here guys, let's celebrate!  Hey, you!  Get over here!  Champagne all around!  I didn't know if we could do it...  but we did!  WOOHOO!!!  DRINKS ON ME!!!


/sarc (as if I needed to put that)

Dr. Venkman's picture

Back in 2004 I was in staying in West Palm for a JuCo baseball tourney and a friend and I were in a sleezy motel hot tub, drunk and making fun of Howard Dean's public implosion, rattling off state names and growling. One of the three girls in the tub started crying hysterically. It was his daughter.


oh the memories.

mkhs's picture

Howard Dean spawned?  Good lord?

Gringo Viejo's picture

Smoke & Mirrors Baby! Running out of runway............

q99x2's picture

Reality has officially been redifined according to FED software.

TeamDepends's picture

They did it for the veterans, God bless 'em!

CrashisOptimistic's picture

There was talk about two years ago about HFT starting to appear in bond trading.  Then there was talk that it failed to get a foothold.

In which case, bonds are the only unrigged market (other than refiners who negotiate with oil shippers without referring to NYMEX, because they have no need to).

NDXTrader's picture

Of all the f*cked up days we've had over the last 5 years this ranks right up there. After the opening stop sweep, the Nasdaq did not move down more than 3 points from any price it hit all day. The impossibility of that w/o manipulation is infintecimal. They are obviously programmed to get to the 61.8% (4208) of the drop from the top. Now you would think that even a CNBC bull would want to pull a little off of the table with everything going on in the world before a 3 day weekend. Yea, It's rigged

disabledvet's picture

we're in a recession. move along...

SheepDog-One's picture

That's what gets me, not even 1 talking head says to take even 10% here at nosebleed highs? Full retard all around!

Carpenter1's picture

Evidence of just how desperate the status quo is right now. 

Seasmoke's picture

Unfuckingbelievable !!!!!......if I wasn't living it, I wouldn't believe it....just like I don't believe the 1930s. 

Ban KKiller's picture

I enjoy seeing the confusion. NO ONE can say what will happen. There is no cause and effect that is real or measurable. Most folks are front run, media spews propaganda, shills sling shit and on it goes.

So real assets still win out for the smart folks who want to preserve their wealth. Stocks and Bonds are toilet paper right after they were recommended buys.  

The charts are prettier after a bong. I watch Wall Street to see where the criminals are hatching their next sure thing. 

Spitzer's picture

Enough money to go around to make everything go up. When you are controlling the price of gold...


But hey, the CAD went up today, because it lost value !


The Canadian dollar gained ground Friday, despite a broadly stronger tone in the U.S. dollar, after consumer price data for April showed inflation moving back to the Bank of Canada's 2% target for the first time in two years. Canadian inflation hits Bank of Canada 2% target i

bbq on whitehouse lawn's picture

Goldman forced the top, this is just going through the motions of a dubble top. Most of you have seen this movie before, many times.
Now the talking heads cry and throw a fit as the market keeps playing with this goldman top.
A bag of potato chips cost 1/5 and ounce of silver. This the people will not pay.

q99x2's picture

I'm going to quit giving away my ideas until I get back to Q99X2.

SheepDog-One's picture

Couldn't possibly be any worse than what we've got now!

...out of space's picture

1900 on s&p

time to boost some italian gdp

HaroldWang's picture

If only I had listened to Obama when he said, "Buy stocks" in April 2009 I'd be flying around in my own helicopter just like the Scotttrade dude. Damn!

fonzannoon's picture

Don't forget he came out earlier this year and said "buy bawnds"

The_Ungrateful_Yid's picture

It's rigged but im taking profits and buying hard assets...long on mind altering elixirs for the weekend however.

disabledvet's picture

the man from Texas is a big winner.

up 40 plus percent in just the past few weeks.
and the US nickel still contains a lot of nickel.

marginnayan's picture

Bamksta Mafia Cartel, aka, the worst white collar criminals on earth.

And remember they pumped this pig  after David Tepper came public with the statement "Don't get freaking too long" and David Einhorn came public with the statement "Shorting a basket of high momo nasdaq stocks" just couple of weeks ago.

They took some of the smartest guys on Wall Street to cleaners today.

By the way Einhorn is the guy who shorted Lehman Brothers and said so on CNBC live in 2007. And you already know what happened after that in 2008.

dirtyfiles's picture

but still its fucken too quiet for all of this shit...

it somehow feels like we had market crash

SheepDog-One's picture

More fuller retardeder.

thismarketisrigged's picture

wow, what a fucking coincidence, we finish at 1900 on the dot going into the long weekend, who could have seen that coming?


ya, no rigging going on here

Me.Grimlock's picture

There's more rigging here than found on one of Captain Jack Sparrow's ships


(whichever one he's swiped this time)

El Hosel's picture

... record lack of interest in stawks = The Fed can buy/produce another all time high on the cheap.