Stocks Shrug Off Dismal Data, Hawkish Fed; 'Animal Spirits' Soar To Record High

Tyler Durden's picture

Reflecting on the week - a week that saw 7 Fed speakers go full hawktard and drive rate hike odds at a pace never seen before, a week in which hard data tumbled to pre-election lows as 'soft' surveys all hit record highs, a week in which Small Cap stocks tumbled red (but but but they're domestic focused) as bank stocks soared, a week in which The Dow spiked to 21,100 on the back of the biggest retail ETF inflows in 3 years, and a week that saw a virtual currency's price top gold's for the firs time ever - we thought this was appropriate... (NSFW!!)

 

Animal Spirits (the gap between hope for the future and the current reality) has never been higher...

Year-to-Date, Gold still leads the major asset classes (bonds unchanged) but bank stocks are beating precious metals...

 

Dow up for the 5th week of the last 6 - perfectly glued to 21,000; Small Caps managed to scramble to unchanged for the week...

 

VIX was crushed to a 10 handle in order to keep the Dow 21,000 Dream Alive...

 

Financials were best on the week (with Staples and Utes lower)...

 

But Deutsche Bank was damaged...

 

A big short squeeze after Trump's address to congress and that was it...

 

The Dollar's best week of 2017 - but som every odd price action, especially after the hawkish spech by Yellen...

 

Euro was the week's best performer, Loonie worst among the majors...

 

Gold's worst week of 2017 and Silver's worst week of 2017, even with modest bounce back this afternoon... Crude's biggest weekly drop since mid-Jan

 

Notably the other fear index improved this week as the global USD-XXX basis swap shifted higher bythe most since Dec 2015 (rate hike)...

 

Yields rose across the entire complex this week... (but the curve notably flattened) - long bond outperformed...

 

30Y Yield's biggest weekly spike since the election (twice tagging 3.10% today before fading back lower after Yellen (not what one would have expected on the hawkish tone)..

 

2Y Yield's biggest weekly spike since Nov 2015 (before the telegraphed Dec rate hike)

Fed Funds Futures biggest weekly drop since June 2015...

 

As rate hike hopes soared to 96%...

 

The Mexican peso rallied for the 4th of the last 6 weeks, erasing most of its weakness post-Trump (helped today by Wilbur Ross' comments).

 

Bitcoin soared to a new record high at $1292 (up 6 of the last 7 weeks and up 17 of the last 22 weeks) surpassing the price of an ounce of gold for the first time...

 

Finally if Yellen was so hawkish, then explain this...

 

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SILVERGEDDON's picture

Short stick - right up the ass. 

Doña K's picture

You are now being warned. "Cryptocurrencies" is the last desparate tactic to divert money from going to PM's, thus, diluting the rise.

Yes you can get lucky and catch the upside but then what?

I would be staying with PM's

CPL's picture

Crypto market has nothing to do with PM's.  Not a damn thing.  It is simply the better offer out of many lesser ones.  So kick and scream all you'd like, they are going to take the fillings from their teeth if they have to.  They will get their slave metals and everyone else that's sane gets to watch the garbage get thrown out the door.  No thanks to your retarded attitude about shiny rocks and it's importance to royals or whatever cockeyed inbred bullshit you think it is.

If you think this is unfair.  Too bad.  There's the door, you can let yourself out anytime you'd like to take the stroll down wash out lane.

Lore's picture

@ Doña K: The truth is in the names, a kind of in-your-face joke: BITcoin (for digital 'bits'); ETHEReum (for 'ether')...  It would be funny if it wasn't so glib and immoral.

Set the sheeple up; knock 'em down.  Set 'em up; knock 'em down. The clincher will be government adoption...

hedgesofnight's picture

GOD there are some real bone heads on here. Sorry but this is just crazy.  

All of this worthless information becasue no one on here ever gets the markets right. I laugh.  

SomethingSomethingDarkSide's picture

Even a retard floating in a raft can rise with boats during high tide, good luck when the storm comes! Otherwise you're a day trader and are on the wrong site.

mily's picture

Let me guess, shlepwave?

SILVERGEDDON's picture

Let me expand on your missive, mily. 

Shitwave is being run by a couple of ex Goldman Sack suckers who theoretically - either weren't good enough to work there, or, did some shady shit that was so edgy, it scared the shit out of even the Goldman management den of thieves.

Now, they are so fucking great, they have to create multiple fake accounts, and post like a hyper active crack head teenager - links in comments on every fucking article on Zero Hedge, in effect, pimping their great product here for free.  

Because they are so fucking successful, they can't even pay for one fucking ad here. If they did, seeing their pimp shit all over the place wouldn't be such a " fuck you " to the Tylers, the site, and it's members.

So, fuck Shitwave and it's thieving sack of shit principals with a baseball bat wrapped in barbed wire, lubed with flaming napalm.

 

MikeM54's picture

If you haven't noticed the few real traders who are left on ZH are not making money.  They just get all homo on here and disgusting.  The few and the proud of us who have had the guidance of SHEPWAVE are just laughing on the way to the bank.  But also those who only listen to ZH are usually the young an naive.  They will have to lose a lot of money before they learn. That is my theory anyway. 

John Beau's picture

SO TRUE!  ZH is becoming a gay hook up site lately. 

Lore's picture

Strange. That isn't my observation at all. Judging by the comments, ZHers are predominantly right-wing and take a fairly definitive stance against the progressive-left, including the pro-homo narrative.

And while the site apparently leans toward traditional values generally, manifesting in conservatism in matters of money and debt and corruption, I don't recall a single instance where a specific trade was recommended explicitly. Can you provide a link?

Mon T's picture

I used to believe that Zerohedge was a conservative straght-laced and somewhat tradiitional site. But after being here for a few years I have noticed a lot of people losing a lot of money because of the bearish stance of ZH. That is what I think the Shepwave followers on here are saying.  The perversion and homosexual related perversion of ZH is not helping matters. 

They usually show their links. Guess they are slipping today. Go through you will find them. Or go to their blog. They show some of their past recent trades and charts on there.

 

I love Zerohedge but the more perverted it becomes the less I will be coming here. 

Lore's picture

I'm unconvinced. These things tend to be self-weeding, given sufficient moderation. If you see the well being poisoned, drop a note to Tyler. I've done it before, like when some shithead kept posting his blog at every opportunity.

Kaiser Sousa's picture

oooh...

what a nail biter we were treated to again today...

cant go into the weekend without a "HAPPY ENDING FRIDAY" in which the Dow Jones Propaganda Index is allowed to slide below the all important 21,000 fradulent fucking level NOW CAN WE...

had to take a moment out from watching mom's eating lunch to call out once again this utter bullshit...

well, back to here room right after i hit up APMEX for another 1/2oz of one of the only 2 forms or real money GOLD...

thanks for the discount bankers fucks...

DEATH TO THE FUCKING MONEYCHANGERS.

 

ps - peace to all my comrades and thanks for the well wisches...

Philo Beddoe's picture

All the best to you and yours, Kaiser. 

Kaiser Sousa's picture

thanks man...

the idiotic comments from an assortment of idiots today lifeted my spirits along with well wishes like urself...

for example - "Lost again huh?  I have noticed a lot of unhappy customers on ZH over the years. You are not alone. MOst people here are also clueless."

presumptuous morons....

priceless.

FemDayTrader's picture

Lost again huh?  I have noticed a lot of unhappy customers on ZH over the years. You are not alone. MOst people here are also clueless.

PopTheBear's picture

Happy stacking! Loaded up too yesterday and earlier today

hedgesofnight's picture

Take that back. Here is a conversation from another thread:

KC Spike   Patriotico Mar 3, 2017 4:04 PM

ZH is a separate entity than Shepwave.  I think they have some kind of reciprocal relationship.  I knew about Shepwave a long time ago when all the controversy of their chief analyst leaving Goldman. Where as ZH is a brand new thing for those of us who have been doing this all of our lives. and I have only been reading ZH for about 1 year. Plus ZH does not actually do analysis. They take articles that are public domain and put them together in their own format. It is great, what they do, but as far as any original information or viewpoint of the markets they pretty much rely on the other analysts. It would serve them well to rely more upon Shepwave. At least they have a proven track record. Just sayin...

Vote up!

3
Vote down!

0 TrumpRally   Patriotico Mar 3, 2017 3:51 PM

Exactly partriotico. Notice how all of these writers and readers at ZH always cry foul when they lose.  They always say the market is rigged. That is because they have been on the wrong side of the markets for a very long time.  The ShepWave readers on ZH if you notice keep pretty much to ourselves.  Shepwave has been around for decades and for the most part we keep it a private thing. Plus they do not usually accept new readers. We do not want cry babies coming there. Stick with what works is what I say.  

FemDayTrader's picture

The readers on ZH are not traders.  If they are then they are the worst traders ever.  

 

But ZH is not an analysis site.  THey show charts and have no analysis to go with them. To even think that this is analysis on here is just naive and shows one's idiocy.  SW on the other hand gives clear triggers, targets and analysis. THe readers on ZH would not even know how to respond.

 

  It is just another  example of how the rich and the smart will keep getting richer and smarter and the poor and the dumb will get poorer and dumber.  

Philo Beddoe's picture

I can make money without being a giant cock gobbler. Can you? 

Chi Juan's picture

True.  But ZH has its purpose, namely to stay somewhat informed.  But you are right Shepwave is a purely technical and objective site whereas ZH tends to be emotional. The readers on here have the attitude that they can "Cheer" the markets up or down. That is a common belief among the young and inexperienced in the markets. That also brings out the fact thast Shepwave has decades of experience at this. Whereas ZH tends to be younger and less experienced and basically just  copies others' articles without no new or original information. But again ZH serves a purpose as long as one knows how to use it.  

SILVERGEDDON's picture

Hey, Chinese Mexican - your paragraph is fake news.

Member for coming up on 6 years. Old fucker. 

Zero Hedge is a news and information site.

Shitwave is for fleecing the muppets, shearing some sheep, and fucking Joe Sixpack up the wallet.

Shitwave can't even pay for ad space - they steal it by posting links like the cancer they are - everywhere.

You - are the fucking Uber driver of Shitwave Ubercorp. Not even good enough to be a pimp.  

Greif's picture

I wanted to say something intelligent.... but it is friday evening after tough week of trading... so here iit is... fuck you

SILVERGEDDON's picture

FEMDAYTRADER -

You must be the alter ego zipperhead that posts the links to making seven grand a month renting out your asshole for stretching too. 

Hence the femme rather than the butch.  

trouba z ceska's picture

All indices closed in green. Mission accomplished! Market manipulators can enjoy pleasant weekend

E.F. Mutton's picture

And the "Animal" they speak of is a Leg Humping Dog

PopTheBear's picture

Peak animal spirits? Finally maybe the correction is near. I'm tired of this fake shit bounce back to reality please.

trouba z ceska's picture

I can't imagine a single event that could possibly trigger a major correction. Maybe Trump assassination, but I'm not sure. It market rises with "rate hike imminent" news, everything is possible. Even "dead Trump rally"

Clock Crasher's picture

Treasury of Goldman Sachs

Mega Psyop aka Soma Salesman aka President Trump selling us Dow21k

Hyperinflation built into balance sheets

jamesmmu's picture
The Next Financial Implosion Is Not Going To Be About The Banks!

http://investmentwatchblog.com/the-next-financial-implosion-is-not-going...

mily's picture

VIX is sooo 2000

mily's picture

Come on it's a joke from Bruno aka Sasha baron kohenn

jamesmmu's picture

I cant find anything that can convince longs to unload their positions, however, between now to 15th, anything can stop the rate hike can trigger the a pop in VIX, its a good bet. and yes, there is no good reason to short, but is it reasonable for stocks at this high, even economy are getting better in this pace? valuvations are getting way out of charts with so much weaker fundatmentals. In the coming 2 weeks, its a good bet with VIX. 

Yen Cross's picture

    The $usd move was all about the euro strengthening. The usd/jpy only retraced about 1/3 of its move, but the eur/usd almost completely retraced, and broke the 20day average

NugginFuts's picture

How long until we see the JPY kick the shit out of the USD? Seems like all the rate hike "news" is baked into the cake. But what about debt ceiling and further delays of tax reform and infrastructure stimulus?

IranContra's picture

So funny, wasn't it Yellen's husband who talked about "animal spirits"?

Atomizer's picture

Green shoots until we sip from roundup bottle. Only bullshit from Google AI. Apparently, Eric thinks I know what you think. I'll send you some information.

The asshole has no idea what I think. Typed in Google. 

All news links. This is hilarious. 

Type glyphosate roundup legal status

It's a fucking riot. I use roundup. Bet the lawncare companies are mad because they lost costumes.  

We well find out who drank it, didn't read the instructions. The over take on company to take ownership of chemical is to get fucked. They want it, ask the judge to ask defendant to release formulation. They can alter and copy it

There is a old story about Ford stealing the wind wiping technology. He won. Same parisite type lawyers. I seek the movie. 

https://en.m.wikipedia.org/wiki/Robert_Kearns

 

 

DaBard51's picture

Animal spirits?  or, spirit cooking?  Confusing, sometimes...

 

 

When nine hundred years old you become, look this good you will not.