A hot CPI and better-than-expected home sales was all that was needed (aside from USDJPY and VIX pumps) to send the S&P 500 and Trannies to new all-time intraday record highs. Escalating sanctions threats and death tolls be buggered... this is going to the moon, Alice. Treasuries were less than exuberant and rallied 4bps off their high yields of the day (i.e. totally disconnecting from stocks) and even USDJPY decoupled through the middle of the day. The USD rose 0.3% (biggest jump in 3 weeks) testing up towards 5-month highs. Gold and silver were dumped, pumped, and then dumped as CPI and housing data hit to end the day mixed. Credit rallied but diverged again this afternoon and remains wider post-MH17. VIX closed back below 12. Only the Dow remains modestly red since MH17 headlines hit last week and in spite of all this exuberance The Russell 2000 remains -0.5% year-to-date.
Dow remains red post-MH17...
[5]
It appears the S&P finds the Pre-Payrolls levels the most critical...
[6]
USDJPY started it but stocks were in a world of their own... though converged in the end...
[7]
Credit markets rallied today but remain less ignorant of geopolitical risk...
[8]
Longer-term Treasury yields tumbled after hotter than expected CPI - earlier Fed hikes, slower terminal growth, sooner next cycle...
[9]
Shorts were squeezed dramatically at the open...
[10]
The USD is pushing towards 5-month highs...
[11]
Oil prices slipped on the day with the August futures expiration shanigans. Gold and silver closed mixed...
[12]
Gold was dumped (pre-CPI), pumped (post-CPI) then dumped (post home sales)...
[13]
Charts: Bloomberg
Bonus Chart
