A regurgitated stimulus narrative,"surprising" rebounds from the depths of hell for some macro data (retail sales, yay! industrial production, boo!), and a press-release study showing a cheap steroid as a 'miracle cure' for COVID were enough to trump soaring COVID case counts in several US states, Beijing locking down 7 regions and shutting all schools, North Korea literally blowing up relations with South Korea, and China and India tensions escalating dramatically.

Why don't we just send the dextramethasone to China - "You're cured mate!"

To 'V' Or not to 'V', you decide...

Source: Bloomberg

The stock market loves it...

Off yesterday's lows, Small Caps are up 10%...

Just wait for earnings to catch up... (in say 2023?)

Source: Bloomberg

The Dow rebounded off its 100DMA to its 50DMA...

Another short-squeeze at the open...

Source: Bloomberg

But while stocks roared higher, bond yields barely flinched...

Source: Bloomberg

Gold was also bid...(not exactly a signal for the all-clear stocks gave)...

The dollar rallied after the better than expected data...

Source: Bloomberg

Oil prices jumped back above $38 on all the "good" news (ahead of tonight's API inventory data)...

Finally, after yesterday's panic-bid in corporate debt after The Fed's nothing-burger statement, things opened up and traded weaker all day today...

Source: Bloomberg

Some context for the stock market's rebound vs the bond market's excitement at the prospects for a 'V'...

Source: Bloomberg

Trade accordingly.