End of the beginning... or beginning of the end?
Weakness started overnight when USDJPY began to tumble...
Stocks. Closed. Red!!!! (and Small Caps were clubbed like a baby seal)
But let's not get too excited...
VIX ended back above 13... as S&P scrambled to hold 2,200 and Dow 19,100 into the close...
Seemingly signalling the Trumpflation party is over (or maybe just month-end rebalancing)
- Small Caps down most in a month after 15 straight days up
- Regional Banks down most in a month after 11 up days in last 13
- USDJPY biggest drop in a month
- USD Index biggest drop in a month
- Gold up most in a month (tagging $1200.00)
Bond trading volume has exploded to five year highs as equity volume have collapsed in this rally...
Bonds continue to rally post-Thanksgiving...
Energy stocks stumbled hard (alongside banks) despite oil's gains as Utilities were strongly bid...
Just as we warned - immediately after the in-the-money Thanksgiving expiration of millions of Goldman options, bank stocks have rolled over...
Catching down to the yield curve..
And credit markets...
Bonds rallied and stocks sold off as we suspect some rebalancing flows hit markets ahead of month-end...
Notably in equity factors "Value" and "Quality" saw selling and Anti-Beta/Momentum outperformed...
Gold had its best day in a month...tagging $1200.00
And finally, while WTI ended higher on the day, OPEC ended its day of discussion with no agreement and half of the gains were erased...
Bonus Chart: Looking ahead to tonight's Japanese trading... we offer this...