Business

First, it was the leak of the massive Heinz-Unilever deal that may have scuttled the Warren Buffett-inspired transaction, now it appears that another recent megamerger was leaked 4 days ahead of the announcement. On Wednesday morning, the SEC froze brokerage accounts of several unnamed traders who made more than $3.6 million in profits by trading in the four days before the $3.3 billion takeover of Fortress Investment Group was announced by Japan’s SoftBank.

On the day for market that can only be described as a blow off top, two things that one would normally anticipate with the Dow above 21,000 and S&P at all time highs, are taking place: first, the departure of the Co-CEO of the world's largest hedge fund, Ray Dalio, as reported moments ago. Now, in a less high profile if just as unexpected departure, Goldman's chief FX strategist, Robin Brooks, the replacement to the infamous Thomas Stolper, has also announced he is leaving the company.

This is the email he just sent to clients:

Last March 10, the financial world was shocked when the world's largest hedge fund announced it would add an unexpected addition to its ranks: Ray Dalio's Bridgewater announced the appointment of an hardware engineer, former NeXT and Apple executive Jon Rubinstein, as co-CEO of the massive hedge fund. However, it was not meant to last, and one year later, Jon Rubinstein, the former Apple executive brought in as co-chief executive of Bridgewater, is leaving the hedge fund after less than a year, the FT reported.

After API's surprise gasoline build (sending RBOB prices lower), DOE reported a draw (though smaller than expected) but crude saw the 8th weekly build in a row - pushing US crude inventories to a new record high. Production continued to surge (above 9mm) to new cycle highs.

API

• Crude +2.502mm (+3mm exp)
• Cushing +544k
• Gasoline +1.84mm (-1.5mm exp)
• Distillates -3.73mm

DOE

Until yesterday, the prevailing Wall Street consensus was that in the absence of specifics from President Trump on his economic and fiscal plans, the market would be disappointed, and proceed to slide. It did not, in fact quite the opposite.