S&P Closes Above 2000 For First Time On Lowest Volume Day Of Year

Tyler Durden's picture

For the last 2 weeks, the US Dollar has surged - hitting new 13-month highs today amid JPY and EUR weakness - and for the last 2 weeks, US stock and bond markets have rallied (leaving 30Y yields implying the S&P is 130 points rich or yields are 25bps too low). S&P tops 2,000, Nasdaq closed up for 10th day in a row, Russell outperformed on major short-squeeze, Trannies slid red for the week. Today saw modest Treasury weakness (30Y +2bps, 2Y -1bps) but still lower on the week; gold ($1285), silver ($19.50), and oil ($94) gained on the day - despite USD strength - as copper dropped 1%. Credit markets remain unimpressed by record-er highs in stocks. VIX decoupled from equity strength today as NASDAQ options feeds broke. Volume was an utter disaster... that is all.

 

Nothing to see here, move along...

 

S&P 500 (cash) topped yesterday's highs early on (thank you resting stops)... 2000.02 close!!

 

as The Close was all critical to keep the dream alive...

 

"Most Shorted" stocks once again bore the brunt of the squeeze higher...

 

Which led Russell 2000 to dramatically outperform as Trannies tumbled - leaving Transports red on the week...and closing at the lows...

 

Some context for this move...

 

VIX decoupled as BATS and NASDAQ broke and options feeds went full retard...

 

The USD Index broke to new 13-month highs today...

 

But the last 2 weeks have seen USD demand flood both stocks and bonds in the US...

 

Credit continues to ignore the exuberance...

 

HY-IG spread is back at 250bps - practically unchanged on the year (thoug IG is notably tighter in recent weeks as investors shift to up-in-quality trades)

 

Early strength in PMs was battered back into submission around the normal 8amET witching hour... Oil rose on the day...

 

Quite a day in Gold futures...

 

Charts: Bloomberg

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Cattender's picture

Best. Recovery. ever.

wallstreetaposteriori's picture

S&P 2000 is like a wet dream..... unfullfilling because it is just not real.

TheRideNeverEnds's picture

Sort of; in a couple years the SPX will probably crash from around 5000 back down to current levels so its near in that sense....

SAT 800's picture

Fine with me; Already got my Dec. Shorts on; I'm willing to see some more "mindless enthusiasm" before October. Hee, hee.

SAT 800's picture

You know that S&P500 chart looks "painted" to me. That don't look like no free market I ever saw. That looks like a locked in and controlled price. Well, I am one of those conspiracy nuts who doesn't believe JFK shot himself in the front of the head, so no use paying any attention to me.

OldPhart's picture

Guess it's time for me to get into the market.

/sarc

spastic_colon's picture

yep....a 30% correction is only to ES 1480 now.....so start buyin'!  / s

SAT 800's picture

Not unless it's to short the major indexes.

pakled's picture

Party on Garth...

Rainman's picture

I gots some S&P 2000 hats for sale.

dontgoforit's picture

Party like it's S&P 1999.

Bay of Pigs's picture

What a fuckan SHITSHOW!!!

digitlman's picture

We's keepin the wet dream ALIVE!

josephpetronyc's picture

this is the biggest scam ever, they are waiting for the little guy to come in and start buying, only the little is broke, and once they figure that he not coming to the party  LOOKOUT below

i_call_you_my_base's picture

Remember when everyone was talking about how the market was rigged? That was a fun week.

jubber's picture

CNBC has been absolutely unbearable today, never seen such a waste of space 

blu's picture

I had a boyfriend like that. Always high, no volume.

He stole from me and I threw him out a window on fire. Not the window, the boyfriend.

starman's picture

Gotta teach that trick to my dick! 

Keltner Channel Surf's picture

With professionals and retail investors on vacation, they’re building a monument that can be knocked down post-holiday, the final floors of the skyscraper they hope to erect with 401 (k) monies, knowing daddy’s reviewing his options this week as he prepares to send little Jimmy and Janie back to school. The last big POMO day puts the angel atop the tree.   .0007% APR in the checking account won’t cut it for college.  Bait and switch?  No, gather and crush, like a bag of recycled cans . . .

StupidEarthlings's picture

Well..at least everythings normal.

 

Well...normally fucked up, crooked and broken.

enforcer92677's picture

I was going to say something smart but then I clicked on the link to best celebrity breasts and well......

OMG's picture

Their fake too like the market

debtor of last resort's picture

Frontrunning the CFR heli droppings.

walküre's picture

Were stocks a hedge in Weimar?

El Hosel's picture

Record Supply and no demand.... Bullish!

SAT 800's picture

Yes; but in the end it didn't work out too well. In Zimbabwe also, the stock market went up 30,000% or so; but it wasn't useful to people who had to use their currency.

stant's picture

Real estate I believe

cn13's picture

Absolutely nothing makes sense right now.

Either the old rules have been permanently rewritten,

or the markets are headed for an unprecedented crash.

El Hosel's picture

What does not make sense? The markets are rigged to go up and they go up, those are thefucking rules.

Hohum's picture

But who would gain by a large fall in the stock market?  What would they "invest" in?

StychoKiller's picture

Let's see now:  Weimar germany -- rocketing stawk market (hyper-inflation), check.

Zimbabwe -- rocketing stawk market (hyper-inflation), check.

USA -- (not yet) rocketing stawk market (hyper-inflation?  Coming soon!)

AdvancingTime's picture

A manipulated stock market distorted by recent economic policy hides and mask the real truth, in many ways it is ground zero in the war to convince us all is well. The American people and Main Street will tell you they are far from convinced that it is smooth sailing ahead. Huge weakness in the economy has been shown by numbers that barely get by even after record amounts of stimulus.

Fact is if QE or the massive government deficit spending that props up our economy is removed it will fold like a cheap umbrella. Recent changes in how the GDP is figured , which boosted growth thus reducing the debt to growth ratio, and attempts to spin poor numbers regarding employment have been met with skepticism. More on this subject in the article below.

http://brucewilds.blogspot.com/2013/10/myth-of-economic-recovery.html