The Streak Is Over - Dow Closes Lower As Early Euphoria Fades Amid "Fire & Fury"

Tyler Durden's picture

"Unleash Hell..."


It seemed like a done deal early on as the panic-buying sent stocks soaring to new record highs but some North Korea headlines and Jeff Gundlach's warnings seemed to turn the market and investors were in tenterhooks into the close to see if VIX-clubbing could keep the Dow winning streak alive...But then Trump dropped the "fire and fury" line and all hell broke loose...VIX >11!!


A big short-squeeze, extended by JOLTS, sparked panic-buying into and beyond the European close but it soon faded and stocks clung to the unch-line until President Trump dropped the "Fire and Fury" speech...


Futures show the crazy swings best...


The S&P's lack of movement continues...for the 15th day

2474, 2473, 2473, 2470, 2477, 2478, 2475, 2472, 2470, 2476, 2478, 2472, 2477, 2481... 2474


FANG Stocks dumped, erasing yesterday's gains...


Interestingly, USDJPY and S&P Futs decoupled shortly after North Korea headlines... and by the close, stock traders had been forced back to reality...


Clear safe-haven buying in bonds and bullion when Trump dropped the "fire and fury" speech...


The Dollar Index ramped higher on JOLTS data, running stops from Friday's payrolls spike, then fading to close marginally higher...


Treasury yields rose on the day but Trump's North Korea tirade sparked some safe haven buying...


The curve steepened with 30Y underperforming...



Gold spiked back up to unchanged on the Trump comments...


WTI closed lower, coiling up into the API data tonight..


Still we are sure this is just dip in stocks that should be bought...

Because the disconnect between hope and reality has never been so wide.

The exuberant-sounding earnings growth (thanks to depression-like base effects) are not showing up in forward-looking expectations for growth...

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Overleveraged_and_Impatient's picture

Dammit. I was giong to quit my job today and now look at this shit. Either way I am buying more 3x Long Leveraged S&P 500 first thing at market open tomorrow. Yellen and the Working Group on Financial Markets still has our back.

small axe's picture

you get the world you invest in ... do you really want to support and live in a world of orchestrated financial repression? 

but I guess you've already answered that question.

Mustafa Kemal's picture

"you get the world you invest in"

Really? I dont see it.

I think I got alot of what I did not invest in

and some of what I did

Clock Crasher's picture

For every million head choppers infiltrating fortress Europe, US equities go up 10%

Martin Armstrong looking like a genius, we will see how close we get to his Dow 30K call

mc888's picture

The "Buy The Fucking Terrorist Attack Dip" market suddenly cares about punkass NK?

Stupid algos even sold XAR.

Clock Crasher's picture


Clock Crasher's picture

First Majestic ran all stops below 6.00 (on a day silver was up over 1%)

Should be basing here for at least weeks

....why you can't use stops, why I never use stops, naked and alone in the wilderness, fire breathing dragons lurking in the darkness

All or nothing baby

All. In!

jamesmmu's picture
Graphic Anatomy of a Stock Market Crash: 1929 stock market crash, dot-com, and Great Recession

Squid Viscous's picture

fire and furry

sounds like Melania's cunt,now that she doesn't need to shave any more.

stop bloviating and either do something or STFU donny



FRLEPU's picture

I believe this headline is correct. What I can't figure out is how shepwave analysts knew this was going to happen. Waiting further instructions. Thanks ZH and SW.

Fartboxbuffet's picture

I got my ak 47 just in time just need 5000 more rounds and 4 more 40 round banana clips bring it fukers

RU4Au's picture

Punctuation, despite your notions otherwise, isn't too hard to learn.

rayban's picture

DIS pulling content from NFLX. The first ICBM has just been launched against big momo names.

Vlad the Inhaler's picture

If Trump thinks his fire and fury is special then he doesn't know history:

vegas's picture

What is "red" in stocks? ... I have not seen this before ... there must be some mistake ... somebody call 911 and report this anamoly ... If stocks can't rally with the threat of nuclear war, what good are they? WTF.

D.r. Funk's picture




Since1929's picture

Hey Vlad,


Maybe he thinks this will be a push button thing with no US boots on the ground. 

I wonder what would happen if we just turned all the ships around, left the region, and said, ok haircut, go play with yourself. 




Exota's picture

OMG, this has nothing to do with whoever is saying what , charts have there own way ,it's written on the wall.

Today was a good shortmoment , the rest is bla bla blah


silverer's picture

Trump would actually do better for the country if he hit the Fed instead of N Korea.

In Stasis's picture

Algorithms will be tweaked to ensure that the words "fire and fury" no longer have any impact upon markets, and then it's back to running to the edge of the cliff for the inevitable swan dive onto the rocks below.

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