Silver gained a stunning 7% this week - its biggest week in 6-months - and gold up over 4% as precious metals handily outperformed US equities (despite the latter being bathed in the glory of a media-gloating low-volume melt-up). Nasdaq is now up 1.7% on the year and broke to new highs not seen since Dec 2000. There was a clear effort to get the more critical S&P 500 to unch in 2014 but it failed - despite slamming VIX to 13.5% (and STVIX to record lows). High-beta Nasdaq and Russell outperformed on the week and Trannies lagged. The USD drifted lower from Wednesday with GBP (+2%, best week in 8mo.) and EUR strength the biggest drivers but notably equities disconnected from JPY carry after 1030ET. Treasury yields slid higher today and ended the week 2bp (30Y) to 6bps (5Y and 10Y) on the week. Healthcare and Utilities are the massive outperfomers in stocks in 2014 - that must be good right?
Silver (and Gold) ripped higher on the week...
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Silver now tops gold in 2014...
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But the headlines will be made by the screamfest higher in US equities (even though they underperformed PMs)...
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This chart perhaps sums up the market conviction - the lower pane is volume above/below average - not exactly 'piling back in' are they...
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Healthcare and Utilities have led 2014... not exactly confidence-inspiring...
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JPY carry has lost its mojo...
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and so have bonds as it seems gold and stocks are best friends...
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And VIX decoupled this afternoon...
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And bonds weakened on the day - end up 2-6bps on the week...
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The USD has slid 0.8% in thelast 2 days as EUR weakness gave way and strengthened along with GBP after Carney's comments... this is the best week for GBP isn 8 months and highest since Nov 09
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Charts: Bloomberg
Bonus Chart: Emerging Markets are unfixed...
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Bonus Bonus Chart: S&P 500 Futures trend reversion...
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