Plunge-Protectors Rescue Stocks & The Dollar; Bonds & Bullion Not Buying It

After The Fed folded in the most aggressively dovish manner ever, the dollar and stocks rebounded heroically today - as if nothing had happened - while Treasury yields shrugged off the plunge protection team's plans and reflected Powell's clearly dismal economic expectations...

We just have a feeling that this won't end well...

 

Overnight saw China stocks shrug off US weakness...

 

UK's FTSE managed gains but European markets generally lagged - despite gains after US opened...

 

US Equity markets were panic bid all day as buybacks, short-squeezes, and AAPL sent stocks soaring above pre-Powell levels...Trannies and Nasdaq are up 1.8% from pre-Powell...

 

Dow futures are up 440 points from the pre-open lows...

 

And here is the catalyst that ignited today's momentum...the same analyst who upgraded AAPL today to 260 (with it trading at 220) only to see the stock plunge to 140...

 

Big short-squeeze today...

 

And buybacks dominated...

 

Biogen was battered...

 

But Semi stocks (SOX Index) soared to a new record high, seemingly knowing something that South Korean exports don't...

 

Growth stocks soared and while Value stocks were bid today, they remain lower from Tuesday's close...

 

Financials kept falling...

 

Credit markets did rally today but not very impressively...

 

Japan was closed overnight (hence the flatline) but we note barely any rebound in bond yields (despite the surge in stocks)...

 

30Y Yields refused to play along with the equity market buying panic...

 

The market is now pricing in 22bps of rate-cuts in 2019...

 

The Dollar soared higher after China closed, retracing all the post-Powell losses...

 

Cable traded lower on the day as fears on a no-deal brexit rose...

 

Cryptos were dumped shortly after the US equity open...

 

 

Commodities were all lower on the day as USD surged but only copper is lower post-Powell...

 

Gold dumped back to pre-Powell levels, holding above $1300 though and managed a late-day rally..

 

WTI oscillated around $60 all day...

 

Finally, we offer the following from reader KW: A pre-market Kudlow conversation

Larry : You guys need to upgrade something big to turn the negative futures

Wall Street : Larry , what do you have in mind ?

Larry : Upgrade BA.

Wall Street : Larry ! Give us a stock that won’t fall out of the sky ! We can’t manipulate that .

Larry : okay , AAPL

Wall Street : Good one !

Larry : gotta run , I’m on PPT duty today . Steven has off .

Wall Street : shit Larry ! Last time you bought too fast at open ?

Larry : get ready !

And that might have been how this happens...

Apple added over $36 billion market cap today, topping its 200DMA for the first time since Nov 19th.