Stocks Soar On Biggest Short-Squeeze Since Trump's Election

500 Dow points - what else is there (forget the 2000 point drop last week!!)

Before we get started on how bullish the US equity rebound must be... consider this - today is the biggest short-squeeze day since Nov 2016's post-Trump election rebound...

 

With "Most Shorted" Stocks soaring off last week's lows...

 

Sparking a panic-bid in Small Caps and Trannies...

 

Before you get too excited - look how dismal volume was today...

 

All the majors bounced off key technical levels...Small Caps remain below their 200DMA...

 

The Dow erased over 50% of last week's plunge... (but is still well down from the early October highs)

 

In October, it's still a sea of red led by Small Caps and Dow is least loser...

 

The big banks soared today. Since earnings began, Morgan Stanley is up 5.6% but JPMorgan is unchanged...

 

But BlackRock tumbled as Institutional investors dumped out of equities...

 

FANG Stocks retraced Fib 38.2% of October's ugliness...

 

While VIX has slumped back from its spike highs, it remains inverted for the 7th day in a row...

 

China stocks were down again overnight...

 

But Europe continued its incessant bid...led by Italy.

 

While stocks soared, bonds were also marginally bid... were RP funds reloading today?

 

With yields pushing back to unchanged on the week...

 

With 10Y remaining in a tight range...

 

Aggregating Stock and Bond returns today was the best day since Feb 6th... (as both stocks and bonds rallied)

 

The Dollar Index broke briefly below 95 but ended unchanged...

 

PBOC fixed Yuan higher overnight and offshore yuan rallied modestly...

 

EM FX soared led by Peso, Lira, and Rand today...

 

Cryptocurrencies were modestly higher on the day

 

PMs faded and WTI gained on the day...

 

Gold ended unchanged and silver modestly lower...