US equity markets were led by the stodgy old low-beta Dow this week - not the high-flying muppetry of the Russell or Nasdaq - as stocks enjoyed the best week in 4 months amidst escalation of geopolitical time-bombs in Israel, Iraq, and Ukraine. Dow and Trannies gained 2% by the close as today's disappointment in Yellen and Draghi took the exuberant shine off an otherwise bottom-left-to-top-right Birinyi ruler-based market. The USDollar gained 1.1% on the week - its best week since November - closing at one-year highs. Gold was slapped almost 2% lower (worst week in almost 3 months) as did WTI (back at $1280 and $93.50 respectively). Copper surged 3.2% on the week (2nd best week in a year) on China restocking chatter. Treasuries were a mixed bag with dramatic flattening on the week (30Y +2bps, 5Y +12bps) to 2009 flat. Credit markets cratered on the day - ignoring equity's relative shrug.
From Yellen's speech....
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Stocks on the week led by The Dow...
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Today was all about the machines and VWAP...
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It appears algos were all set for mashing VIX-mode once Draghi spoke but stocks were caught between that algo buying pressure and credit's massive selling pressure...
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Credit was not happy...
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Tresasuries a mixed bag this week with 30Y ending marginally changed on the week...
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The USD had a big week...as JPY got mashed back ove 104...
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Commodities were very active... Copper's 2nd best week in a year, gold's worst in 3 months...
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Charts: Bloomberg
