Dow Down Most In 3 Weeks As Market Double Dump-And-Pumps

Tyler Durden's picture

Overnight saw China spook its markets by weakening the CNY (and breaking the trend again) and suffering a failed bond auction and that led on to weakness across Europe as USDJPY toyed with 102 and dragged stocks and peripheral bonds down. The US opened weak, saw the usual buying spree jerked higher by JPY then as the budge deficit hit (reducing room for monetization money) stocks tumbled to the session's lows and red fo rthe week. Of course that will never do and at around 330ET, as usual, the buying panic began (though in a tiny range). US cash equity markets saw a double dump-and-pump but were unable to scramble back to the green by the close. The USD closed unchanged as EUR tested once again down to Draghi spike lows. Gold and silver closed unch (with a midday dump of $175 miilion notional in gold futs); oil flatlined (iraq vs world bank) and copper slid (China). Treasury yields closed 2bps lower with the belly outperforming. VIX was slammed at 330 but stocks could not hold their gaisn as The Dow had its worst day in 3 weeks.

 

 

Cash markets double dump-and-pump'd

 

USDJPY was largely in charge but the beta of stocks is getting a little crazy...

 

VIX was slammed at the close to help but it didnt work...

 

FX markets were quiet

 

But EURUSD tested back down to Draghi lows...

 

Treasuries rallied modestly on the day but remain higher in yield on the week...

 

Oil shrugged off any concerns in Iraq... (and world bank downgrades) but copper kept tumbling

 

Gold was whacked around midday with a $175 million sell order... but rallied back

 

Charts: Bloomberg