Tuesday Trader Temper Tantrum As Yellen Spoils The Party

Tyler Durden's picture

It's Tuesday but not everyone had fun... Having been told by the Fed that small-caps were stretched, investors bid Trannies and Industrials into the green (well the Fed never said they were rich?) Russell and Nasdaq were sold (but only dropped around 1% as every trick in the book was found to "fight the Fed"). VIX slams, JPY ramps, Gold slams... but amid all the furore of the "Sell" momo stocks signal from the Fed, bond markets shrugged (admittedly with some noise) closing flat in 10Y (and modestly higher in yields in the short-end). Gold was monkey-hammered once again, smashed back below $1300 (but remains above June FOMC levels) with its worst 2-day drop in 10 months (breaking its 20, 50, and 100DMA). Biotechs closed worst among Yellen's shorts and Russell 2000 ends -0.65% for 2014.

 

The not-small-caps-or-biotechs indices stabilized after initial Yellen weakness but Nasdaq and Russell dropped...

 

And looking at specific names it is clear the sepration between small and not small caps...

 

VIX helped dragged the S&P off its lows...

 

"Most Shorted" stocks tumbled on the Yellen headlines...

 

And AUDJPY was also helping...

 

Bonds were sold on Yellen's statement then rallied back as stocks weakened.

 

 

Gold was slammed once again...

 

Breaking technical levels...

 

Credit markets faded into the close...

 

 

Charts: Bloomberg