Stocks Squeeze To Record High On Trade & Brexit Hope (Again)

President Trump was correct when he forecast this morning that “stocks would have a good day today,” as despite disappointing economic data, stocks short-squeezed (again) to new record highs…

“It’s not the economy, it’s the liquidity, stupid!”

Source: Bloomberg

When does the real world attack (England) overwhelm the great pretenders (All Blacks)?

Chinese stocks rallied strongly overnight…

Source: Bloomberg

With tech stocks best after Xi pushed for blockchain investment…

Source: Bloomberg

European stocks all ended the day higher led by UK and Germany…

Source: Bloomberg

Mixed day for US stocks with Trannies barely able managed gains while Nasdaq and Small Caps surged…

 

The S&P 500 rallied to new all-time record highs…

S&P Prior Record Closing High 3025.86 (3027.98 intra)

On the heels of yet another major short-squeeze…

Source: Bloomberg

While the S&P makes new highs, the median stock is making lower highs…

Source: Bloomberg

Microsoft and Amazon shares diverged notably after hours on Friday, after the former won the DoD’s JEDI contract the latter’s expense, but as the US equity market opened, the machines bid AMZN back up…

 

PG&E shares collapsed even further as millions of Californians remain without power…

And PG&E bonds were a bloodbath…

Source: Bloomberg

Equity and credit protection costs are collapsing…

Source: Bloomberg

Treasury yields were all higher on the day with the long-end notably underperforming…

Source: Bloomberg

30Y is back at 2.35% – its highest since before the September FOMC

Source: Bloomberg

The yield curve (3m10Y) steepened dramatically today, shifting to the phase of imminent recession in the past…

Source: Bloomberg

The dollar chopped around into the US open but ended the day lower…

Source: Bloomberg

Cryptos all soared over the weekend…

Source: Bloomberg

With Bitcoin exploding from below $7,500 to over $10,000 at one point…

Source: Bloomberg

Despite a drop in the dollar, oil and PMs had an ugly day after Trump promised a good day for stocks…

Source: Bloomberg

WTI fell on a report from Genscape that Cushing stocks likely rose this week

 

Gold broke back down below $1500…

 

Palladium tops $1800 for first time ever

Source: Bloomberg

Finally, we note that overnight repo liquidity demands continue at extreme levels…

Source: Bloomberg

As US economic data continues to disappoint after Q3’s “use it or lose it” government spend-fest surge…

Source: Bloomberg