As Nasdaq Erases 2020 Losses, Negative Rate Forecasts Send Yields To Record Lows
What’s wrong with this picture…
33 million Americans have gone on the dole in the last seven weeks…
2Y Treasury yields broke down to record lows (as did 5Y)…
Source: Bloomberg
Negative rates are now being priced in for Q4 2020…
Source: Bloomberg
And Nasdaq Composite is now in the green for 2020…
Source: Bloomberg
So COVID-19 is “the worst of times” for Main Street and “the best of times” for Wall Street?
“Who care about COVID-19 anyway for Christ’s sake…”
By the close, The Nasdaq Composite had actually fought for that 8972.64 closing 2029 level…
On the day, US stocks were higher but well off the European close highs intraday…
Stocks were weak once again in the last hour or so of the day…
Source: Bloomberg
S&P Futs seem unable to break that 2880 level convincingly (which just happens to be the neutral gamma level)…
Bank stocks rolled over as the ED futs signaled negative rates (but remained higher on the day thanks to the early panic bid)
Source: Bloomberg
FANG Stocks made a new record high today…
Source: Bloomberg
The Internet stocks are soaring (and if you don’t know, “you’re too old to understand…” just buy ’em remember, nothing can go wrong)
Source: Bloomberg
Treasury ‘VIX’ jumped notably today as S&P ‘VIX’ drifted lower…
Source: Bloomberg
Treasury yields all tumbled today with the long-end outperforming (30Y -8bps, 2Y -5bps)
Source: Bloomberg
The dollar was also dumped as ED futs flipped negative…
Source: Bloomberg
As the dollar dropped, cryptos were bid but once again the rotation from alt-coin to bitcoin is clear…
Source: Bloomberg
And Bitcoin soared up towards $10,000
Source: Bloomberg
And gold was bid…
Another chaotic day in crude oil land but for once, WTI actually ended the day lower…
Finally, bonds and stocks have become drastically decoupled from one another…
Source: Bloomberg
But the big theme was the surge in Bitcoin and Bullion as NIRP came into play…
Source: Bloomberg
Tyler Durden
Thu, 05/07/2020 – 16:02
via ZeroHedge News https://ift.tt/3bk9oHD Tyler Durden