Today was the best day for the Dow in 3 weeks - of course. In a titanic effort to get back to unch for the week, the Dow managed to reclaim the 'retirement-maginot-line' of 14,000 amid a low volume, low average trade size ramp (which ended the day with some large blocks running through into the highs). The rest of the US equity complex did not recover as gloriously as the S&P saw a red week for the first time this year (Materials -2.8%, Staples +1.7%). Interestingly, from mid-week, gold and stocks recoupled but the USD (+1.2%) and bonds (-3bps) are much more cautious. On the week, despite all the clamor, Gold lost 1.8% with Copper the biggest loser -5.2%. Spot VIX and stocks have been perfectly synced post-FOMC and the vol compression today provided just the lift to disconnect from risk-assets in general. Equities unch, USD high of week, Treasury yields low of week, PMs down, Oil down - the magic will never cease. S&P futures closed testing the under-side of the up-trend channel - that is all.
The Dow managed to regain green on the week... hoorah...
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with sectors very dispersed on the week...
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Cross asset class in general recoupled from mid-week - though gold is outperforming post FOMC
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At the end of today everything got a lift - but we note that in the commodity space Gold outperformed its peers - losing 1.8% on the week...
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One of those totally dislocated equity ramp days in stocks as Capital Context's CONTEXT (proxy for broad risk assets) [7] shows what the rest of the FX, credit, commodity, bonds, swaps world thought of the rally today...
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and finally - this is where the S&P finished the day - on declining volume and trade size... you decide...
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and a slightly longer-term look at S&P 500 futures - shows the close today ramping up to the low-end of the recent up-trend (orange dotted line) - but with major professional acivity (large blocks indicated by the blue bars h/t @eminiwatch)... click image for huge version.
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and spot VIX and the S&P revert to trading tick for tick once again (even as the rest of the curve remains wide)...
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Charts: Bloomberg and Capital Context [7]