"Off the highs" is perhaps the phrase that the mainstream should be using. The S&P gave up allits post-EU-close gains into the US close. It seems, as we noted earlier, that AAPL capturing its 50DMA, relative strength in VIX and Bonds, and a total lack of volume just could not lift the S&P 500 to new highs. The early short squeeze provided the momentum but that faded into the last hour or so. USD weakness supported the risk rally (as very little else did) and commodities were all higher on the day with the Brent Vigilantes on the prowl once again as WTI topped $94.50 back to near 3-week highs. AAPL's best day in over 3 months (up to its 50DMA) led Tech to lead the day (and the Nasdaq was the notable outperformer). The exuberance led stocks rich relative to all risk-assets and the slide into the close merely corrected to that risk-asset-proxy. JPY carry was not helpful as JPY tried and failed to recover the 98.00 level. Silver outperformed. With the Japanese on vacation last night, JPY's rip into the close is a little worrying for the risk-on crowd but month-End here we come...
The S&P gave back all it's post-EU Close gains into the US close... ending at VWAP
[7]
Volume... in Futures...
[8]
Volume... In NYSE stocks...
[9]
VIX didn't like it...
[10]
as Silver (and WTI) led commodities higher...
[11]
JPY rallied hard into the close (not good for risk-on) - remember Japan was on holiday last night...
[12]
Today's ramp was all about Europe's close... as Capital Context's SPY Arb and CONTEXT models show [13], in the end short-term reality was rediscovered...
Charts: Bloomberg and Capital Context