Dow Clings To 30K Amid IPOpalooza, Bonds Bid On Brexit & Bailout Busts

Dow Clings To 30K Amid IPOpalooza, Bonds Bid On Brexit & Bailout Busts
Tyler Durden
Fri, 12/11/2020 – 16:01

This is not a bubble…

Source: Bloomberg

This is not complacency…

Source: Bloomberg

And this is not a short squeeze…

Source: Bloomberg

And these are not the droids you’re looking for…

And in case you had any questions about whether this market is a little over its skis, just listen to he who knows best…

“…it’s not as though there is speculation in this market, that is not the case” – David Faber, CNBC 12/11/2020

Trade Accordingly.

Stocks were broadly lower on the week (with only Small Caps managing gains on the week)…

The Dow benefited from an epic meltup in DIS (which added 150 points to the index today)

Source: Bloomberg

Here’s The Dow this week…pinging around like a penny stock desperate to close above 30k (remember yesterday’s close was 29,999)…

Energy stocks outperformed on the week amid total chaotic swings. Tech and Financials lagged on the week…

Source: Bloomberg

VIX was higher on the week, decoupling from stocks…

Source: Bloomberg

Bonds were bid all week with the long-end outperforming…

Source: Bloomberg

30Y yields are coiling…

Source: Bloomberg

And 2Y Yields plunged back near record lows…

Source: Bloomberg

Real Yields fell notably this week (suggesting more upside for gold)…

Source: Bloomberg

The Dollar ended the week higher amid utterly farcical swings intraday

Source: Bloomberg

Cable had a roller coaster week too amid Brexit headlines…

Source: Bloomberg

Bitcoin ended the week back below $18,000 as the crypto market broadly rolled over this week…

Source: Bloomberg

Commodities ended the week mixed with silver down 1%, crude up around 1% and copper and gold unch (despite some big intraweek swings)…

Source: Bloomberg

Either copper’s too high, gold’s too low, or yields need to go way higher…pick your poison

Source: Bloomberg

And finally, circling back to the start… this is not a bubble and this market is not expensive…

Source: Bloomberg

The big boys ain’t playing along…

Source: Bloomberg

Even the ‘soft’ survey data is starting to give up hope…

Source: Bloomberg

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