Bonds & The Dollar Dumped, Black Gold & Bitcoin Pumped

Bonds & The Dollar Dumped, Black Gold & Bitcoin Pumped

A noisy week in US equities (led by Small Caps) after record inflows, ending with the ubiquitous buying-panic ahead of the long weekend…

But while Wall Street ended at record highs, Main Street sentiment has collapsed…

Source: Bloomberg

“It’s good to be king…”

The frenzy of trading in U.S. equities is showing no signs of abating and looks set to surpass levels seen during the worst of the pandemic panic in March.

Source: Bloomberg

Over the last 15 days, an average 16.2 billion shares have traded each day on all U.S. exchanges, according to data compiled by Bloomberg. That’s just below the 16.8 billion average hit on March 25, which was the highest in at least over a decade. Bursts of trading usually come amid periods of surging volatility so with price swings subdued the jump in trading activity looks like another sign of stock market exuberance.

Energy stocks the week’s best performer (as oil surged) with Utes and Consumer Discretionary (and odd couple) lagging…

Source: Bloomberg

Heavily-shorted Biotechs tumbled this week after a big open Monday…

Source: Bloomberg

But the original WSB short-squeeze stocks actually rallied this week (though context is critical)…

Source: Bloomberg

And while Pot stocks started the week magnificently, they ended ugly…

Source: Bloomberg

TSLA had an ugly week as the automaker desperately clung to $800…

And TLRY changed its mind faster than Fauci on mask-wearing…

VIX tumbled this week, closing at its lowest in a year…

Source: Bloomberg

As Net Specs are at their shortest VIX since Feb 2020 also…

Source: Bloomberg

Treasury yields ended the week higher after bonds were dumped today…

Source: Bloomberg

10Y and 30Y yields pushed up their highest level YTD today, with the latter back above 2.00%…

Source: Bloomberg

The biggest driver of bond yields appears to be breakevens which are in turn rallying on crude…

Source: Bloomberg

The dollar puked all week, almost back to unchanged on the year…

Source: Bloomberg

And as the dollar dumped, crypto soared…

Source: Bloomberg

With Ethereum above $1850 at new record highs after a good monkey-hammering early in the week…

Source: Bloomberg

Bitcoin also screamed higher, breaking above $49k at its peak after Elon Musk said Tesla was a buyer…

Source: Bloomberg

Oil outperformed on the week along with copper as PMs managed to hold on to gains, despite a weak dollar…

Source: Bloomberg

WTI prices rose for the 9th day in the last 10, and exploded higher today, breaking above $59…

Finally, if the ‘smart money’ is selling, who’s been chasing all these money-losing, massive gamble SPACs and IPOs on the break?

Source: Bloomberg

Tyler Durden
Fri, 02/12/2021 – 16:05

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