NASDAPPL Crumbles Amid Sideways Volatile Week

Tyler Durden's picture


Take your pick of how to describe this week's action. The Dow was green, S&P 500 unch (ES closed right at its 50DMA), and NASDAQ down for its biggest 2-week loss since the rally began. Heavy volume and incessant selling pressure pushed AAPL to its biggest 10-day loss in over 8 months as it closed at 5-week lows just shy of filling the gap from 3/13 and very close to testing its 50DMA for the first time in 4 months. Credit and equity markets generally did a round-trip today closing near their lows after opening the day-session near their highs off the ubiquitous overnight ramp. HY is practically unchanged on the week as IG saw up-in-quality rotation and outperformed while the S&P ended in between the two as they all traded in a broad range for the second week in a row - even though volatility remains intraday. Treasuries slid to their lowest yields of the day into the close today (though off the week's best and unch today) once again somewhat range-bound but with a notable falling-yield momentum down a few bps on the week with the long-end outperforming and 10Y closing under 1.96%. Copper and Oil rallied solidly today but aside from a little volatility Gold and Silver trod water ending the week with Gold -1% and Silver +0.55% as WTI ended back over $104. The EUR kept rallying all week (more repatriation flows?) dragging the USD lower as JPY underperformed on the week (flat today as the rest of the majors tracked USD weakness) and GBP outperformed. Broadly, the Treasury strength balanced the Oil and FX market risk-on-sentiment but risk-assets proxied higher into the US day-session open only to give it all back and drag stocks back down. It feels like there is still hope for some re-liquification but the weakness in AAPL and the financials suggest at best rotation and at worst steady risk-off while earnings beats (of drastically lowered expectations) keeps the dream alive.

AAPL struggled - that is all...

The NASDAQ lost some of its shine this week while the DOW benefited from the MSFT rotation...

Credit and Equity markets chugged violently up and down all week to end practically unchanged - in the same range as last week - with IG modestly outperforming. Notably IG cash markets underperformed CDS this week (as financials lagged) but HYG bond spreads and CDS were generally flat and in line with one another's moves (as industrials and consumer cyclicals underperformed today).

Treasuries limped lower in yield with a late-day rally back near the week's low yields...

Commodities were not as range-bound as the rest of the asset classes - though Silver and Gold went dead in the last 24 hours or so. WTI managed to close above $104 again and Copper outperformed on the week...

FX markets drifted lower in USD all week (but that didn't help Gold) as EUR repatriation flows continue. JPY was flat (underperformed) today as the rest synced with the USD flow...

CONTEXT rallied early in the day on FX flows and Oil strength but Treasury yields dropping and flattening and credit stability rolled broad-risk-assets over and dragged equities back down into the close...

Charts: Bloomberg

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Fri, 04/20/2012 - 17:01 | 2362371 resurger
resurger's picture

Where is Reggie Middleton !

Fri, 04/20/2012 - 17:02 | 2362379 junkyardjack
junkyardjack's picture

Whereever Zimmerman was hiding

Fri, 04/20/2012 - 17:05 | 2362388 johnu1978
johnu1978's picture

Down with Apple!!!


Primitive Skills Classes

Fri, 04/20/2012 - 17:22 | 2362437 LowProfile
LowProfile's picture

Still pumping your survival classes, eh?


Fri, 04/20/2012 - 17:49 | 2362512 Levadiakos
Levadiakos's picture



                                               I BUY CASH

Fri, 04/20/2012 - 18:28 | 2362617 sessinpo
sessinpo's picture

 Levadiakos          2362512   




I sell cash in return for PM, great looking hookers, and ammunition in 9mm and 308 winchester.


Fri, 04/20/2012 - 19:24 | 2362710 Levadiakos
Levadiakos's picture

Secret Service?

Fri, 04/20/2012 - 17:02 | 2362374 YesWeKahn
YesWeKahn's picture

AAPL is hard to value with the ever changing phone/computer landscape. It could be worth 1 trillion one day, but 200 billion another. Welcome to the volatility.

Fri, 04/20/2012 - 17:18 | 2362430 buzzsaw99
buzzsaw99's picture

If the Chinese keep working for slave wages the trillion may be correct. If a trade war started tomorrow it would be worth nearer the latter figure you mention.

Fri, 04/20/2012 - 22:39 | 2363030 disabledvet
disabledvet's picture

There's no such thing as "China" for what's in your cabinet. If you have one those of course.

Fri, 04/20/2012 - 17:21 | 2362432 Id fight Gandhi
Id fight Gandhi's picture

Eur is being held up. No question. With all the concerns, bond shit, markets tanking over there you'd think it would be much lower.

Waiting for the day they cant hold it above the 1.30

Fri, 04/20/2012 - 17:39 | 2362476 Vampyroteuthis ...
Vampyroteuthis infernalis's picture

ZH has pointed out over the last couple of weeks how Euro strength is sourced from repatriation of funds in Europe. Once that ends, the Euro is dead. RIP Euro

Fri, 04/20/2012 - 17:53 | 2362522 Levadiakos
Levadiakos's picture

SPX has a long way to fall yet

Fri, 04/20/2012 - 17:25 | 2362447 HedgeAccordingly
HedgeAccordingly's picture

Crapper under 567 is gonna be a quick shot down to 500...

Fri, 04/20/2012 - 17:36 | 2362473 NotApplicable
NotApplicable's picture

Like the Osmonds used to say, "One NASDAPPL don't spoil the whole bunch, girl!"


Fri, 04/20/2012 - 17:51 | 2362517 Levadiakos
Levadiakos's picture

Pretty sure that was a Doors tune

Fri, 04/20/2012 - 18:01 | 2362553 Stoploss
Stoploss's picture

So, when we get down to just the board of directors as the only employees left at the companies, will the initial claims number begin to decrease?

Fri, 04/20/2012 - 18:20 | 2362605 Yen Cross
Yen Cross's picture

 This article just reminded me to put my CNBS JIM CRAMER ( dart board) up!

Fri, 04/20/2012 - 18:54 | 2362667 walküre
walküre's picture

Japan is making noise at the IMF. They need the IMF to come through for Europe. Things are getting pretty ugly for Japan which needs strong global economic growth to survive. The Chinese aren't big buyers of Japanese products.

Fri, 04/20/2012 - 19:10 | 2362694 Paul Atreides
Paul Atreides's picture

NASDAPPL buhahaha no literally I am cleaning beer of my monitors....

Fri, 04/20/2012 - 20:13 | 2362790 slewie the pi-rat
slewie the pi-rat's picture

next wed:  F0MC rate statement

next fri:  GDPee

Fri, 04/20/2012 - 23:49 | 2363147 Yen Cross
Yen Cross's picture

 Lets get through the G20/IMF Cluster F..k first!

   Do you look like "Lion Heart" Slewie?

Fri, 04/20/2012 - 20:15 | 2362799 thatonekid13
thatonekid13's picture

Must.....have.....colorful....charts. These are my favorite posts from ZH.

Fri, 04/20/2012 - 21:53 | 2362957 DanDaley
DanDaley's picture

Please don't start with the Mel Gibson rant.  

Fri, 04/20/2012 - 21:31 | 2362928 MeanReversion
MeanReversion's picture

I wouldn't bet against apple this quarter. They will absolutely demolish even the best earnings estimates on Tuesday. People dont realise what huge demand for the Iphone in china which will more than offset any slowing growth in the US. Expect over 40 billion in revenue, well over the 32 billion of guidance.

Fri, 04/20/2012 - 22:32 | 2363015 ZDRuX
ZDRuX's picture

Silver dips = BTFD!!



Fri, 04/20/2012 - 22:51 | 2363050 bugs_
bugs_'s picture

keep an eye on that Russell too.

Sat, 04/21/2012 - 00:11 | 2363183 sof_hannibal
sof_hannibal's picture

Apple is fucked. Jobbs is dead. That's all I need to know. Karma is a bitch lined with slave labor hallways where "good men die like dogs,"

Get some

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