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Levered Funds Are The Most-Short Bonds Ever, Russell Shorts Lowest In A Year
It appears the ammunition for another leg higher in bond yields and small cap stocks is running dry quickly. As BofAML notes, speculators added to Russell 2000 positions for the 5th of the 6 weeks, reducing small cap shorts to smallest in a year. Spec buying of crude continues unabated with the 4th week in a row lifts net long to highest since August. The bond complex is at extremes everywhere: large specs bought 2Y bonds for the 7th week in a row, lifting the 2Y bond net long to a 2-year high; but levered funds have never been more short the long-bond. All-in-all positions are extreme to say the least.
Small cap shorts are at one-year lows and as BofAML's chart shows, relative positioning is at its longest since the start of QE3...
Crude buying continues to lift net long positions to relative balance...
Levered funds have never been shorter the long-bond...
and Large Specs have not been this relatively long the 2Y since 2011
Finally, the ultimate consensus trade in the new normal... Sell Vol - VIX shorts are now the heaviest in a year...
Consensus trades everywhere...
Charts: Bloomberg, BofAML
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It helps to know when someone has their finger on the scales...
...and which scales are affected...
"Animal Farm" was more than a reading assignment...
tick tock motherfuckers...
Short bonds and long oil?
Somebody's got a death wish.
what difference does it make....Stock Market is going up on printed money EVERYWHERE
Bingo!! It will work just as long as all those paper promises don't start seeking out real assets...
Yeh but what qualifies as a real asset? when everything is pumped to death it doesn't matter what shit comes out the end, its all real now right.. Until the bombs start falling from the sky then the only thing that is real is the dirt in front of your face..
Shorting the long bond...., idiots. It seems nobody has heard of Japan. Old Yeller has some fiat to shove up the ass of the bond shorts.
They need to end this fraud. The damage created by these traders is not repairable because you have a distinct disadvantage to the news they are getting ahead if you and the high frquency games they are playing wthout ever paying 1 penny.
You guys need to stop trying to harsh my mellow! Everything is peachy. I know this because CNBC (JouTube) told me so!
Could be basis trades. Low-duration 30-year paper staying bid.