Bonds & The Dollar Jump As Stocks & Crypto Dump
Everything was awesome overnight. Equity futs were higher as traders anticipated yet another Santa Claus rally into year-end. And then UK PM BoJo fearmongered of a "tidal wave" of COVID cases coming and the first of someone who has the Omicron variant... and all hell broke loose in markets.
'Bubble' markets broke loose...
And this was overheard in mum's basement across the nation...
All the major indices tanked at the US cash open, led by Small Caps. The selling pressure abated as Europe closed but the machines were unable to get back to even. The last 15 minutes saw selling pressure resume leaving Small Caps and Big-Tech down 1.5% on the day...
Nasdaq and Russell 2000 both dropped into the red for December today
Source: Bloomberg
Under the hood, the median US stock is notably lower over the last few days...
Source: Bloomberg
Retail favorite stocks plunged...
Source: Bloomberg
AAPL was unable to tag $182.86 which would have given it a $3 trillion market cap....
TSLA is on course for its worst month since March 2020...
Interestingly, after the start of last week's massive short-squeeze, "Most Shorted" stocks have been clubbed like a baby seal...
Source: Bloomberg
Treasuries were bid all day with the long-end significantly outperforming...
Source: Bloomberg
The yield curve flattened notably, erasing Friday's post-CPI steepening...
Source: Bloomberg
The dollar rallied all day, erasing Friday's losses...
Source: Bloomberg
Bitcoin tested its 200DMA...
Source: Bloomberg
Ethereum broke below its 100DMA...
Source: Bloomberg
Forward inflation swaps and Ethereum have recoupled...
Source: Bloomberg
Oil prices leaked lower today as BoJo's words sparked concerns on demand...
And while US Nattie prices have trended lower, European NatGas has exploded back to record highs (chart below is apples to apples in BTUs / oil barrel equivalents)...
Source: Bloomberg
We heard some chatter about "lower gas prices" today too... actually regular gasoline prices at the pump have never been more expensive for this time of year...
Source: Bloomberg
And finally, "Fear" is back. In stocks...
And in crypto...
Get back to work Mr.Powell!
