For the 2nd day in a row, US Treasuries and precious metals were well bid as it seems safe-havens were in strong demand. EUR strength (repatriation flows after risk-aversion in Europe from Ukraine – EURUSD closed at highest since Oct 11) drove the USD Index lower (-0.15% on the week) and while gold and silver benefitted from that modest weakness they are now up 2% on the week (with gold above $1365 and at 6-month highs). Oil slipped (on SPR release talk) and copper lifted modestly (as Yuan strengthen very mildly). Credit markets have lost all gains from Putin. Once again the magic elixir of the US day-session open spiked AUDJPY and supported stocks up to unchanged from overnight weakness but once Europe close (well in DST terms) US equities drifted sideways to lower leaving the Dow and S&P red into the last hour. Another late-day scramble to sell VIX managed to get the S&P just green!
Totally normal VIX slam into the close… MUST CLOSE GREEN!!!! Mission Accomplished
AUDJPY inseparable from stocks (aside from the same vol as we saw yestrday around the US open)…
But Treasury yields tumble – regaining all losses from payrolls…
Stocks remain green from pre-Putin but gave back some more of those gains today…
Gold is sending warning signs that all is not well in the risk world…
But it's clear that this week has been about risk not growth…
As EUR dominated the USD – EURUSD closed above 1.39 for the first time since Oct 2011
Credit markets are extremely skeptical and protection is bid well beyond pre-Putin levels…
Charts: Bloomberg
Bonus Chart: Herbalife bears must have been rejoicing… but it really didn't end that bad…
Bonus Bonus Chart: It seems the dead-cat did bounce then died again…
via Zero Hedge http://ift.tt/O2ZQX2 Tyler Durden