Business

Following today's more dovish than most expected minutes, the dollar tumbled and its main carry counterpart, the yen spiked. However, shortly after 4pm, the USDJPY resumed its levitation, a time when the traditional trust bank intervention on behalf of the BOJ was not yet in play. The reason for the updraft in the dollar was the publication of an interview in the WSJ with Treasury Secretary Steven Mnuchin, his first since being sworn in as Treasury Secretary last week, in which he appeared to advocate a "strong dollar", and said the strong U.S.

Analysts and traders alike were looking forward to today's "black box" earnings from Tesla as it would be the first consolidated report that combined Tesla Motors operations with those from cash-bleeding monstrocity SolarCity following the pair's merger, to wit: "with the acquisition of SolarCity, we have created the world’s only integrated sustainable energy company, from generation to storage to transportation."

While OPEC compliance remains key, it appears fundamental over-supply fears are mounting once again. Against expectations of a crude build and gasoline draw, API reported a surprise crude draw but smaller than expected gasoline draw. Cushing also saw a major drawdown and Distillates saw the biggest draw since Oct 2014. WTI and RBOB prices were marginally higher on the print.

API

Quick... look over there..

http://www.youtube.com/watch?v=FsqJFIJ5lLs

The Dow was the only major to close green today... (DD and MMM created 35 points of The Dow's 32 point gain)

The Dow has notched its 9th record close in a row - the longest streak since Jan 1987...

The US equity market and VIX have now been decoupled for 8 trading days... (closing higher with stocks for the 2nd day in a row)

Authored by Bonner & Partners' Bill Bonner, annotated by Acting-Man's Pater Tenebrarum,

To Unleash or Not to Unleash, That is the Question…

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