Why we rallied... (BTFD short squeeze)
Because... (the central banks conditioned traders)
How it will end... (The markets are at 2:00 in this clip)
* * *
Before we start... This!
[9]
And this...
[10]
October - Just For Fun
Everything is awesome around the world (except Ukraine and Venezuela)...
[11]
- This is the 4th biggest October S&P rally since 1929!!
[12]
- Best overall month for the S&P since October 2011
- Nasdaq's best month since September 2010
In The US, Nasdaq the big winner and Trannies underperformed (weak close today)...
[13]
With Materials, Energy, and Tech the huge winners...
[14]
Leaving stocks the most overbought since Nov 2014...
[15]
And then there's Valeant...
[16]
The Dow still did not quite make it back to green for 2015... even as The S&P surge back into the green (and Nasdaq nears cycle highs once again)
[17]
While October was a big month for stocks, it was less exciting across the other asset classes...
[18]
Treasury yields tumbled initially on poor payrolls.. then yields went nowhere for 3 weeks til The FOMC...
[19]
The US Dollar managed some modest gains (once again driven by China rate cuts, ECB and FOMC moves)
[20]
Silver surged over 7% on the month as copper slid over 1% amid China growth concerns. Crude and Gold (after the former's meltup) were equally higher on the month...
[21]
* * *
So back to this week...
The Dow actually closed lower of 4 of the 5 days this week, but the melt-up after The FOMC turned hawkish-er saved stocks for the week..
[22]
And stocks have given all of the fomc gains back...
[23]
Although today was weak..with an ugly close...
[24]
Most mind-blowingly, "Most Shorted" was notably weak post-FOMC and stunningly roundtripped to perfectly unchanged on the month - after the massive squeeze post-payrolls...
[25]
Since The FOMC Statement...Gold is the loser, stocks gave back gains, with only crude higher...
[26]
Something remains majorly broken in The VIX Complex...
[27]
Treasury yields pushed on higher this week with the long-end outperforming overall (after yesterday's ugliness which was rumored to be dominated by rate-locks on heavy issuance)...
[28]
The USDollar drifted lower again today, giving up all of its Hawkish FOMC gains...
[29]
And it seems US equities are catching on to what FX markets think...
[30]
Commodities generally drifted lower on the week, apart from crude...
[31]
Crude ripped higher on the latter half of the week - running stops above last week's highs before fading...
[32]
Charts: Bloomberg