Copper, Crude, & The Yield Curve Crumble As Fed Flops, Virus Death-Count Pops

Stocks remain unfazed as coronavirus deaths and cases are exploding higher...

Hope has screamed higher since The Fed started expanding its balance sheet but 'hard' actual economic data has collapse...

Source: Bloomberg

But stocks are "Not A Bubble"...

Source: Bloomberg

"All Clear?"

China cash markets remain closed but futures are desperately trying to stabilize around 11-13% below last week highs...

Source: Bloomberg

European stocks rallied modestly today, extending yesterday's gains. Italy remains the only market in the green on the week with Germany weakest...

Source: Bloomberg

Mixed picture in US market today with Trannies best, Dow managing tiny gains (thanks to AAPL and BA), Nasdaq barely green, and Small Caps and the S&P red...

VWAP was serious support for much of the day (the smell of buyback programs dominated) but the cash open and The Fed's flop failed to provide any support...

Banks also did not like what Jay Powell was selling today...

Source: Bloomberg

Equity and credit protection costs jumped today and remain notably elevated from last week...

Source: Bloomberg

Meanwhile, options positioning is signaling a likely rise in vol is imminent...

Source: Bloomberg

Both bonds and stocks were bid today - widening the divergence between the two once again...

Source: Bloomberg

Treasury yields plunged today almost uniformly down 7bps across the curve... (2Y -5bps)

Source: Bloomberg

30Y Yields closed at their lowest since October 8th...

Source: Bloomberg

The yield curve is pushing back closer to inversion in the key 3s10s spread...

Source: Bloomberg

But a lot of the belly of the curve is inverted...

Source: Bloomberg

The Dollar round-tripped again today - the sixth day in a row that dollar-selling hit after Europe closed - weakenig notably after The Fed...

Source: Bloomberg

Yuan continues to refuse top play along with US equity market's optimism...

Source: Bloomberg

Bitcoin continues to push higher, above $9400 today to its highest in 3 months...

Source: Bloomberg

Commodities were mixed with Crude and Copper sliding (China virus fears) and PMs modestly higher...

Source: Bloomberg

Copper down for the 10th straight day...

Source: Bloomberg

Additionally, Soybean prices tumbled again - hardly a good sign for the phase one deal being completed...

Source: Bloomberg

WTI tagged a $52 handle today...

Finally, with a h/t to @TaviCosta, commodity markets are behaving as if an equity selloff is imminent...

Source: Bloomberg

Traders are increasingly hoping for more rate cuts in 2020 (now pricing in at least 1.6 cuts by year-end)...

Source: Bloomberg