Morning Market Melt-Up Momentum Fades But Bonds & Bullion Slide

Powell to markets – “Never gonna let you down”…

 

Chinese markets rallied overnight, but faded in the afternoon session…

 

European markets also extended last week’s gains…

 

US Equity markets continued to rise today (Dow up for the sixth straight day higher – longest streak since May 2018) following the US-Mexico deal (buy the news?)…but no closing melt-up today

NOTE – the Nasdaq was up over 2% around the European close but stocks faded from that point.

Nasdaq broke above its 50DMA today, but was unable to hold it…

NOTE – The Dow and S&P held above their 50DMA but Small Caps were unable to break the highly clustered DMAs…

 

But notably, the market is shifting very modestly more hawkish as stocks rebound…

 

And bonds refuse to play along…

 

Notably, the initial momentum-ignition short-squeeze faded after Europe closed…

 

And then there’s BYND!! Now up 600% from its IPO price…

 

VIX and stocks are decoupled for the second day in a row…

 

Treasury yields rose notably on the day…

 

But if we pull back a little, they merely tested the upper range of the last few days trading…

 

And no follow-through in the 2Y Yield…

 

The Dollar Index ended the day almost unchanged after a small roundtrip higher overnight …

 

Yuan tested down towards 7 month lows

 

The peso erased last week’s losses, perfectly retracing the post-Trump-traiff threat drop…

 

Bitcoin managed to hold gains as Litecoin jumped and Ripple dumped…

 

With Bitcoin hovering around $ 8000…

 

After 8 weeks lower, copper was up today as PMs and crude slipped lower…

 

Gold was down today, breaking its longest win streak since 2010

 

WTI was unable to hold the $ 54 print…

 

Finally, the share prices of the world’s most systemically-important banks are not suggesting all is well…

 


ZeroHedge News < click to continue reading