Extremely not suitable for work... It just seemed like one of those days...
This was yesterday...
And this is today...
Everything was fine, treading water... weaknes after weak data and oil lower... AND THEN NY Fed cancelled the 7Y auction and all hell broke loose...
Unleashing another epic short squeeze...
Another spell of ovenight weakness in futures that was gobbled up at the EU open and US open...Futures were ramped to the highs on Monday, and ran those stops
Today's ramp took the S&P 500 back above 50-day moving-average for the first time in 2016... to the highest since January 8th
Bullard 2 DeMark 0
— Northy (@NorthmanTrader) February 25, 2016
Year-to-Date, Small Caps are back out of correction and Trannies are now down by less than 2%...
VIX tumbled back below 20 towards 2016 lows...
Financial stocks were bid... but bonds closed wider...
FX markets were relatively calm again with slight weakness in the USD Index, strength in commodity currencies and cable stopped its free-fall...
Bond yields & Stocks decoupled, but the Auction cancellation sparked a surge in both...
Treasury yields crashed into the 7Y Auction... which was then cancelled... which sent yields soaring... only to fade notably into the close...
Notice anything odd about this chart? Gold ended higher on the day (despite some earlier thumpings for PMs), copper crumbled (as China fell), but crude just did it's full retard thing...
And finally, we go back to the beginning, the "technical issues" enabled a farcical spike in WTI today.. just like yesterday...
Charts: Bloomberg
Bonus Chart: First things last- China stocks suffered the worst loss since Black Monday week overnight...