Crude Crescendo Helps Dow Beat Longest Losing Streak In 40 Years

If you own Netflix alone in your portfolio - everything is awesome in the world - if you own anything else, not so much...

Spot the odd one out...Nasdaq (green) vs World Stocks ex-US, the UST yield curve, EM FX, SIFIs, and Global Macro data...

 

China was ugly this week...

Emerging Markets ugly across all asset classes...

DAX ended the week ugly - Trump trade tariffs on autos - but FTSE managed to end with a gain...

Heavy volume in US markets on the Russell rebalance today.

Since Fed Day, The Dow is down around 3% and Nasdaq and Small Caps up around 1% (losing some ground the last two days)

On the day, S&P and Dow managed gains - flipping the script on the week...ugly close into the rebalance.

On the week in stocks:

  • Dow's worst week in 3 months (ends 8-day losing streak, worst in 40 years)

  • Trannies' worst week in 3 months

  • S&P worst week since early April

  • Nasdaq ended the week lower - first down week in a month

  • Small Caps up (barely) for 8th week in a row

Here's the culprit for the tech wreck - Red Hat missed... (biggest drop since Oct 2006)

"Most Shorted" Stocks up for the 8th time in the last 9 weeks... (the biggest short-squeeze ever)...

 

But it has paused a little the last two days (but we've seen this before)...

 

NYSE FANG+ Stocks ended the week lower - first down week in a month - even with dip-buyers scrambling in every day...

 

After a four week melt-up short-squeeze, Tesla stocks and bonds tumbled this week...

 

Mixed bag in US banks this week with Citi up and the rest down... (all lower after last night's stress test)

 

A roller-coaster week for financials relative to tech that ended with the two unchanged relative to each other...

 

Unusual action in bonds this week. All Treasury yields ended the week lower but the belly notably outperformed the wings..

The curve flattened very modestly on the week.

This is the lowest weekly close for the 10Y Yield (and first below 2.90%) since April...

 

The Dollar Index fell the most in almost three months this week (after last week's best gains since the US election after the ECB)

 

Yuan weakened the most as JPY strengthened on the week...

 

In fact - ever so quietly - Yuan has devalued by 4.5% from its highs of the year (which were very similar to the last devaluation level)...

 

Another down week for cryptos - led by an 11% plunge in Litecoin - after Japanese regulatory crackdown sparked selling overnight...

 

PMs were very modestly lower on the week (with a weaker dollar?) but copper was clubbed on trade tensions and crude exploded on OPEC...

 

WTI Crude soared over 5% today - the biggest single-day surge since the OPEC meeting in Nov 2016... (though notably still 6% below the May highs)...

 

Silver continues to outperform gold after last week's collapse...