Dow Closes Green: GE Crashes, Bitcoin Bounces, & Junk Bonds Suffer Record Outflows

Baahhhhh...

 

The day started off with the 4th down day in a row for Japanese stocks...the biggest drop since April.

 

It was quite a day for a few key assets...

GE collapsed...

Chipotle crashed then ripped back...

 

EM Debt has been pummeled...

 

Biotechs puked...

 

Bitcoin was battered then bounced...

 

And then there's Roku... $18.42 to $47.49 in 3 days...

 

But none of that matters silly - the Dow was green

 

VIX ended higher on the day but was clubbed likje a baby seal at the US open...

 

Small Caps lagged but are glued to their 50DMA...

 

Futures show the ramp at the US equity open...

 

Thanks to an epic rip at the open in USDJPY...

 

JNK (HY Bond ETF) has seen outflows for 5 days straight with Friday among the biggest outflows on record... (HYG has seen outflows on 10 of the last 12 days)

 

And HY remains entirely decoupled from stocks...

HYG held at its lows...

 

Treasury yields were mixed with the long-end outperforming (30Y -1.5bps) and the short-end weak (2Y +3bps)...

 

10Y ramped back to the 2.40% Maginot Line...

 

With a reversion to the flattening trend...

 

The Dollar Index rebounded modestly today but was trendless...

 

Crude flatlined on the day but copper and silver saw a panic-buying algo strike around 0830ET

 

Gold never jumped on Silver's surge...

 

And Copper's outperformance continues to signal 3.00% 10Y yield...

Comments

Peak Finance Mon, 11/13/2017 - 16:05 Permalink

LOL up 9.14% on my GE trade. ZH perfectly called the bottom. You know, it's almost as if someone at the Fed fucking HATES ZH and buys when ZH makes a call. 

Keltner Channel Surf Peak Finance Mon, 11/13/2017 - 16:12 Permalink

Can’t argue with there being a mutual hate club between them, but in fairness to our Tyler(s), in an algo-driven, mean-reverting intraday world, and with the time it takes to write up and publish a post (as anyone who operates a blog well knows), often by the time it hits the “this is serious shit” radar, profit targets have been hit, and the reversion begins.  Nicely done, my good man, in any event …

In reply to by Peak Finance

Keltner Channel Surf Mon, 11/13/2017 - 16:06 Permalink

Horizontal, low-volume afternoons during Options Expiry Week, just before an ‘exciting’ central banker round-table:An ant traversing the surface of an enormous balloon is convinced he's proceeding in a flat, straight line, and as the balloon is inflated further, this journey naturally takes longer.

adr Snaffew Mon, 11/13/2017 - 18:10 Permalink

Roku is essentially going to become an advertising service stuck at the bottom of your TV. Roku is just a name for the app drawer running on most low end TVs. TCL, Insignia, and Sharp (not the real Sharp) all sell sub $500 Roku TVs. The big business in Roku streaming sticks and boxes was already made. That is why the company IPOed to take advantage of free Fed cash and stock market insanity. Roku boxes are over, but supposedly Roku will become a streaming company with ad revenue, so the Wall St morons are all over it. 

In reply to by Snaffew

vegas Mon, 11/13/2017 - 16:14 Permalink

"epic rip in USDJPY"? Wait ... what? It had a 47 PIP range the whole day ... do I need to go to a re-education camp to understand the new "new" doublespeak bullshit of finance? If so, no FEMA camps north ... I get a chill easily. Some place where I can get some Sangria would be nice. www.traderzoogold.blogspot.com

Jack Oliver Mon, 11/13/2017 - 18:46 Permalink

Funny how the markets keep on inflating - yet everybody KNOWS it's rigged - and there is ZERO confidence in it !

You can thank Russia - they have cleverly avoided WAR !!!