Despite a significant tumble into the close ($3.25bn notional sold in last 4 seconds of S&P futures); for the first time since January 2004, the S&P 500 has risen for eight straight weeks. Trannies are still leading off the debt-ceiling-debacle lows up 13.3% but this week saw the NASDAQ accelerating to 11.3% gains off those lows. Despite being pounded by GBP buyers, the USD (rescued by JPY weakness) ended the week unchanged and Treasury yields are +/-2bps on the week (30Y -1.5bps, 5Y +2bps). Despite some early week weakness, today saw commodities rising (with WTI crude jumping higher - modestly narrowing the 8-month wides in the Brent-WTI spread at $17.60). Gold and silver recovered to gains on the week keeping pace with the S&P and Dow. VIX (once again) entirely disengaged from stocks' exuberance and so did credit markets.
Ugly end to the week...
and month-end volume was huge in S&P futures...
8 green weeks in a row for the S&P...
[4]
NASDAQ is catching up to Trannies off the lows...
[5]
Commodites rose on the day with gold and silver closing the week up around 1%...and WTI recovering some early losses...
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But the Brent-WTI spread has pushed to 8-month highs, but the last 2 days saw WTI outperforming to modestly close the gap...
[7]
Credit markets didnt buy it...
And nor is VIX for now (as it seems while selling is frowned upon - hedging is not)...
It wasn't just stocks that were a mess at the close... Treasury (cash and futures disconncted quite notably)...
Charts: Bloomberg