Thanks To Biggest Short Squeeze In 4 Months, US Stocks Shrug Off EM, EU Entropy

Markets move robotically higher, US creates fasteresterest super-computer ever-ever, Tudor's AI fund outperforms humans dramatically, Durant shows cyborgian features... It's here...

It's all green, all the way baby...

 

VIX tried its best to get back below 12...

 

Growth dominated value to start the week then factors reversed rapidly on Thursday morning as value dominated growth to end marginally higher on the week...

 

 

Wondering why stocks soared seemingly unstoppably this week, no matter what was thrown at them? Simple - it was the biggest short squeeze week in four months...

In fact, since the start of April, "Most Shorted" stocks have dramatically outperformed the S&P...

 

FANG stocks outperformed financials on the week but the last 3 days financials were the big winners...

But as US bank soared, Italian banks... did not...

 

Massive divergence occurring between US equity risk, IG risk, and HY risk...

 

And while US debt markets' saw a yield flash-crash which left them marginally higher on the week...

 

The biggest story of the week - which CNBC et al. barely even mentioned - was the huge liquidity suck out in US Treasuries on Thursday...

 

10Y Yields remained below 3.00% ...

 

The yield curve ended practically flat on the week...

 

Emerging Market debt tumbled back near its lowest since Feb 2016... after a brief dead cat bounce last week...

 

But US HY credit markets rebounded notably, even as Emerging Markets plunged...

 

The Dollar Index fell on the week for the first time in two months - though the trend is undeniably flat for the last 17 days...(1168, 1170, 1169, 1168, 1169, 1168, 1171, 1173, 1177, 1170, 1171, 1172, 1171, 1172, 1170, 1170, 1170...)

 

EM FX was ugly broadly speaking but as the Argentine Peso plunged today so the Brazilian Real resurged miraculously...

And in case you wondered - *BRAZIL TREASURY ACTS TO CURB VOLATILITY, NOT FIX PRICES:ALMEIDA

Cryptos ended the week in the green with Bitcoin Cash outperforming and Litecoin the laggard...

 

Even with the dollar marginally lower, oil still underperformed, as copper soared on supply scares...

 

Silver notably outperformed gold on the week...back to almost unchanged on the year...

 

But $1300 remains bid for the yellow metal...

 

Once again, just as reality was about to dawn, soft data surveys took off again this week (as hard data faded)...

 

Finally - today was all about the G6+1...ish

 

Comments

Traderone Fri, 06/08/2018 - 16:04 Permalink

Today belonged to the Globex traders.While you Yanks were still in your beds the European dip buyers stole the day (myself included, naturalment). 

jmack Fri, 06/08/2018 - 16:07 Permalink

    You might note that yesterday was rollover in all cme futures contracts, so for the past week, bears have been buying to cover, to either close out or roll over their positions.     That might be information you could utilize in the future when you see two weeks of sideways action going into the end of a contract...

moonmac Fri, 06/08/2018 - 16:12 Permalink

Helicopter Ben said since Jumbo Jet Janet stopped making Money Drops over Wall Street Gyroplane Jerome had to take over but he can barely carry a suitcase full of cash so expect the market to crash in 2020.

BUT UNTIL THEN RALLY ON SHYSTER CRIMINALS!

arrowrod Fri, 06/08/2018 - 16:13 Permalink

More squiggly lines.   Yesterdays doomsday scenario from Tyler.  I thought it portended an up Monday.  I was wrong.

Where is the continuation of the AI beats humans in market performance clickbait?

Fantasy Free E… Fri, 06/08/2018 - 16:14 Permalink

Sadly Americans are still clueless as to what is happening to them.

http://quillian.net/blog/decoding-stock-market-manipulation/

Manipulation of the stock market is not just for making profits by doing so.

There is an actual organized effort to centralize and consolidate stock ownership at the top. Does this seem harmless? It is not. It will destroy the entire economy if allowed to continue. Anyone waiting for the market to drop because of organic market forces is going to have a long wait. Short selling into a situation like this is the equivalent of shorting into the leveraged by out of an individual company. This is nothing short of a leveraged buyout of a controlling interest of the world's equity markets.

TheRideNeverEnds Fri, 06/08/2018 - 16:16 Permalink

Hahaha short squeeze?  

 

No, it’s a bull market you moron.  

 

A bull market which will last another ten thousand years.  Sure anyone who shorts it will be squeezed out but that’s only because they are retards who don’t understand the fact that central banks have abolished the business cycle and stocks will go up forever.  

Anonymous IX Fri, 06/08/2018 - 16:19 Permalink

Just wanted to let you know how much I enjoy the clips, Tyler.  I look at the clip and end photo skipping all the graphs.  I just assume more of the same:  the rich get richer; the poor poorer.  A seasoned guestimate for beginning collapse:  2020.

ThankUGartman Sat, 06/09/2018 - 02:09 Permalink

Some squeeze, watching old people hump is probably more exciting than this jizzle drizzle inch higher millimeter by millimeter. Boring as F... one downturn and there goes your premium. Most likely never to be restored ever. 

ThankUGartman Sat, 06/09/2018 - 02:09 Permalink

Some squeeze, watching old people hump is probably more exciting than this jizzle drizzle inch higher millimeter by millimeter. Boring as F... one downturn and there goes your premium. Most likely never to be restored ever.