Stocks Bounce, Bonds Bid, But Gold Soars To Best Year Since 1980

Overheard everywhere this week...

 

But it seems something changed...

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Across global assets...

Half-way through the year and judging by the last 3 days, everything is awesome... Gold and Silver are massive outperformers, stocks just broke even, and bonds are surging...

 

This is gold's best H1 since 1980...

 

Stocks bounced hard off their End-QE3 levels...

 

But Nasdaq -4% and Trannies remain the laggards year-to-date...

 

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In Q2, Silver and Crude were best performers, stocks and HY debt worst with bonds and gold doing well...

 

This was the worst quarter for the Chinese Yuan since 1994's Q1 49% devaluation...

 

Trannies ended the quarter down 6% and Nasdaq -1.6% while Small Caps short-squeezed themselves to a 4% gain...

 

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And finally, for June...stocks managed to scramble back into the green barely this week but Silver soared with bonds and bullion big winners...

 

A 3rd 200-point plus gain in The Dow was the first since the face-ripping rally off mid-Feb lows...

 

If ever there was a presence of The PPT to be found, we note that the last 3 days are the first time since the August crash rebound that The Dow has ripped over 200 points from the open to the high...same as in Oct 2014 when Bullard saved the world...

Makes sense - if The PPT is going to step in then they will want cash investors to take the momentum... not overnight futures traders.

Here is June - The S&P scrambled all the way back to unchanged (ending June +2pts)...

Manipulation instrument of choice - VIX - collapsed almost 40% (yes we know we don't like using %ages with VIX) - the most since the Bullard bounce in Oct 2014...notice VIX is stuck right at its 50DMA

 

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Since Brexit, gold remains the winner but stocks are catching back up to unch...

 

While Trannies and Small Caps are laggards, Dow & S&P surge desperately for the pre-Brexit levels...

 

"Most Shorted" stocks were squeeezed perfectly to unchanged post Brexit

 

VIX broke down to 15.29 intrday today, but was unable to hold below its 50DMA at 16.05...

 

Treasury yields were crazy today - spiking higher early at the EU open, then plunging on BoE, spiking again on ECB, then tanking into the close...

 

Notably on the day (this is bond futures) - Gilts gained (BoE easing), TSYs unch to lower (safety/yield), and Bunds tumbled (ECB buying elsewhere)

 

FX Markets were nosiy...Cable dumped on Carney but rallied back, JPY dumped (to support stocks) and EUR dumped and pumped...

 

Commodities were mixed as the USD swung around. Crude was weakest as Silver soared...

 

Crude ramped into the NYMEX close yet again... and then crashed...

 

Finally, Precious Metals are soaring. Silver is at its highest since Sept 2014...

 

Charts: Bloomberg