Dollar Dumps To 2-Month Lows, Ether Record Highs After Powell Promises Moar, Warns Of “Froth”

It’s “not time yet to think about tapering”… was the simple confirmation of what everyone already knew and yet that sent the dollar lower, yields lower, stocks higher, gold higher, and crypto higher…

The Dollar made the biggest headlines, dumping to two-month lows…

Source: Bloomberg

Remember, don’t “meddle with the primary forces of nature” Mr.Powell…

Inflation expectations (10Y Breakevens) have exploded…

Source: Bloomberg

(but that’s transitory)… And so is the surge in Ethereum to new record highs?

Source: Bloomberg

Ethereum overtook Platinum’s market cap today for the first time ever…

Source

Late-day ugliness (extending the losses from the “froth” warning by Powell) took the shine off any positives for stocks today with Dow and Nasdaq worst (Dow hit by AMGN, MSFT, and BA), S&P ended around

Big sell program hit around 1510ET on that Powell comment…

Source: Bloomberg

Nasdaq was very noisy intraday, spiking to overnight highs at the cash open (only to get dumped back down) and spiking to overnight highs on The Fed statement (only to get dumped back on Powell’s “froth” comments)…

Bonds were bid after The Fed, pushing yields lower on the day…

Source: Bloomberg

The market shifted hawkishly to basically price in a rate-hike by the end of 2022, far different from The Fed’s 2024 forecast..

Source: Bloomberg

On the day, the dollar double-dumped…

Source: Bloomberg

Bitcoin was flat around $55k while Ether rallied, pushing ETH/BTC up near 0.05x…

Source: Bloomberg

Commodities and bonds are in strong disagreement…

Source: Bloomberg

Gold whipsawed on the day but ended green…

WTI pushed back above $64 intraday as gasoline demand moved back to pre-pandemic levels, but lost that level by the close…

Finally, we wonder just how “transitory” this spike in Price-to-Sales (to a record above 3x) will be?

Source: Bloomberg