Gold Gains As Yield Curve, Crypto, Crude, & Crap Shoes Crumble

Hotter than expected PPI, a hawkish-er than expected FOMC Minutes, and tensions in the MidEast heating up even more... so buy gold (makes some sense) and buy big tech stocks (hmm, ok?)

Oh, and remember all that excitement about "the market doing their job for them" blah blh blah... well financial conditions have eased significantly in the last few days (as Israel sparked flight to safety/quality bids)... time to unleash the hawks again?

Source: Bloomberg

Spot Gold topped $1875 - two week highs - after bouncing off the February lows

Source: Bloomberg

Bonds were mixed with the short-end underperforming (2Y +2bps, 30Y -11bps). From Friday's (post-payrolls) close, the 20Y yield is down 35bps and 2Y yield up 9bps!

Source: Bloomberg

...which has flattened (inverted-deeper) the yield curve (2s30s)...

Source: Bloomberg

The 2Y Yield found itself pinned around 5.00% once again...

Source: Bloomberg

Also the SOFR Z3-Z4 (basically how much rates will be cut next year), has risen notably (more rate cuts expected for next year in the last few days)...

Source: Bloomberg

Small Cap stocks lagged on the day but the entire equity complex sold off into the FOMC minutes and was bid after with Nasdaq the best performer...

No big short-squeeze today...

Source: Bloomberg

Bitcoin was punched in the mouth again, back down near $26,500....

Source: Bloomberg

The dollar was flat on the day

Source: Bloomberg

And bear in mind that the dollar tends to fall after CPI (out tomorrow morning)...

But we do note that the Ruble continues to slide (back above 100/USD) and Russia imposed capital controls today...

Source: Bloomberg

Crude oil erased all (almost all) of its post-Israel-attack gains...

And finally, there's today's "blockbuster" IPO... Birkenstock - which IPO'd at $46, opened at $41, and went south from there...

Not pretty... like the shoes.