Another day, another record high in tech stocks...
A very ugly 3mo T-Bill auction today (highest yield since Lehman and inverting the yield curve) sent yields soaring once again as debt-ceiling concerns are spooking cash markets (but not stocks)...
But as Bloomberg notes, markets focused once again on the White House as news about Russian ties continued to hold sway. Jared Kushner told reporters after his Senate testimony he did nothing wrong. “Let me be very clear. I did not collude with Russia, nor do I know of anyone else in the campaign who did so,” Kushner said. The benign news calmed risk anxiety.
Trannies are down for the 6th day in a row (to lowest close in a month) as Nasdaq rallies to new record highs (up 11 of the last 12 days) - a dramatically divergent day...
VIX crashed to a new record closing low, managing to get S&P green but then it snapped
Retail was notably weak today (for the 2nd day in a row) as Financials outperformed...
FANG Stocks continued to rise today - 12th day in a row - ahead of GOOGL's earnings...FANG are up 15% in the last 12 days...
We note GOOGL was suddenly sold into the close...back below $1000
Interestingly this afternoon's quiet linear meltup in stocks was not driven by a short-squeeze...
Stocks and Bonds ahve recoupled from Draghi's break...
Bond yields rose modestly from the moment Europe opened...
Crude gained on the heels of Saudi promises to make deeper cuts to exports in August...Still the move was very modest considering the headlines...
And that helped lift the Loonie to 14-month highs against the dollar....
The Dollar Index ended the day unch hovering at Aug 2016 swing lows...
Gold also went nowhere today, trading in a very narrow range...
Bitcoin was also very quite today...