Whether it was stocks, credit, gold, silver, oil, EURUSD, or conk shells, the message we were to believe was clear - BTFD today. As if by clockwork, Europe closed and US equity markets surged - seemingly forgetting that Europe will re-open again tonight but should you need any reassurance of what your pre-assigned Pavlovian role in this tragi-comedic dance-with-the-devil is - we suggest the following clip as a reminder.
or perhaps the following tweet we pushed earlier will clarify:
World's shortest newsletter: "It's 11:29 am: SELL; It's 11:31 am: BUY." That will be $29.95 weekly please.
— zerohedge (@zerohedge) May 8, 2012 [3]
but of course - as a reminder - the only reason this market is ramped - is to enable size sellers to unwind a little more with a little less pain...and sure enough heavy volume and large average trade size stepped in and dipped us off the highs into the close of S&P 500 e-mini futures...
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And while everyone will be chatting about Oil's drop and how great that is for consumers - well they BTFD there too so not so much sorry...
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But for a little clarity of equity's exuberance - the late-day surge took S&P 500 futures well beyond risk-asset's view (CONTEXT [6]) of the world as EUR and Treasuries were not buying it (after being highly correlated all day)...
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As a side note on the hilarity, AAPL was one of the bigger dips bought today as it tested down to pre-earnings-week lows and closed the day-session today almost perfectly at yesterday's closing VWAP (must be sheer coincidence we guess) haveing found resistance above at Monday's closing VWAP (again pure coindince we are sure)...
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And finally - our late-day tweet offering as much valuable advice as the most expensive newsletter...
Here is today's other offering: "It's almost 4:00 pm - market will soon realize Europe is opening tomorrow" That will be $29.95 please
— zerohedge (@zerohedge) May 8, 2012 [9]
Charts: Bloomberg and Capital Context [6]