Trade-War Buying-Panic Stalls As US Yield Curve Tumbles To Fresh 11 Year Lows

Dow up 700 points... 30Y Yields unchanged...

 

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China managed to extend gains after Monday's best day in years...

 

But Italian banks suffered as Salvano used the b-word (Breakup)...

 

And US Stocks were more mixed than they have been in the last few days...Small Caps adn Trannies were underperformers, Nasdaq unch (after making an record high intraday) and The Dow best...

 

But the trade war has been a buying extravaganza...

 

S&P algos wanted 2800 desperately...

 

The Dow has retraced exactly 50% of its February drop...

 

It looks like the short squeeze is over...

 

Small Caps underperformed Big Caps again today...

 

Treasury yields ended the day higher but notably 30Y ended barely higher as the short-end underperformed...

 

The yield curve tumbled once again...

 

To a fresh low since August 2007... (10s30s now at single-digits)

 

But the swap curve is now officially inverted...

 

And the eurodollar curve has inverted...

 

After a brief but modest bounce in the dollar, it resumed its down trend today, ending at the lows of the day...

 

EM FX surged today back to 4-week highs...

 

With Argentina's peso surging...

 

Cryptos were ugly...

 

Commodities were mostly unchanged but copper resumed its downtrend...

 

Copper closed back near 12 month lows...

 

And finally, while soft, hope-filled survey data bounces, hard, real economic data remains flat from the election...