After spending the last two weeks in a 20 point range, the S&P 500 has finally passed the all-important 1,700 level after the Fed's directionless statement was trumped by Hilsenrath's confirmation that the Taper 'may' be delayed and the late-day collapse in stocks was trumped by a 'miracle' from China and this morning's promises from Draghi. After its initial spurt off the 6/24 un-taper lows, the S&P surged at a wonderful 200% annualized pace but the sideways oscillation of the last few days has dragged that extrapolated performance exuberance down to a mere 140% annualized. As a reminder, there is a buyer (retail) for every seller (professional) [4]; what could possibly go wrong? It seems 'on hold' is the new BTFATH (and sell bonds).
Futures lifted all night... running above the post-FOMC highs...
[5]
And now that the S&P 500 cash market have opened - we have a new all-time high... as the S&P 500 cash index trade 1,700.87
[6]
Charts: Bloomberg