Stocks, Silver, Black Gold & Bond Yields Jump This Week As Dollar & Yuan Dump
Tyler Durden
Fri, 05/22/2020 – 16:02
Millions more job losses, thousands more deaths, hundreds more earnings outlooks cut or dismissed, dozens of rancorous threats and promises exchanged between US and China… and still a handful of key US stocks sent the major indices soaring on the week led by Trannies and Small Caps…
A panic bid at the close to get the indices green for the day…
Almost as if it never happened…
Source: Bloomberg
Or put another way…
Notably, after the European close on Monday, The Dow and S&P went nowhere!
But hey “vaccines” and shit means it’s a good week!!
Source: Bloomberg
Or it could be something else?
Source: Bloomberg
Seriously though, it’s Mission Accomplished…
Source: Bloomberg
The big banks are higher on the week but notice that from the opening spike on Monday, they are all lower…
Source: Bloomberg
FANG Stocks were up on the week but sold off after The Fed…
Source: Bloomberg
Treasury yields ended the week higher across the curve, but only modestly with the long-end up 4bps…
Source: Bloomberg
Bonds and stocks decoupled…
Source: Bloomberg
The Dollar slipped again this week (selling ahead of The Fed and rallying after)…
Source: Bloomberg
But on a longer-term context, the dollar is coiling…
Source: Bloomberg
Offshore Yuan dumped this week as US-China tensions rose…
Source: Bloomberg
And Hong Kong Dollar Fwds puked amid Beijing’s new “security” law…
Source: Bloomberg
Bitcoin was flat on the week, erasing most of the post-halving gains, but Ethereum had a strong week…
Source: Bloomberg
The dollar continues rangebound against its fiat friends but is weaker and weaker against sound money…
Source: Bloomberg
Oil was the week’s big winner (again) but silver surged as gold slipped…
Source: Bloomberg
Gold/Silver just got too juicy after The Fed went all-in…
Source: Bloomberg
July WTI is back at around the $34 level and stalling again…
Finally, we appear to still be following the 1930s analog for now… which means we lift to around 26k on The Dow… Bear market rallies in 1929, 1938, 1974 saw an average 61% rebound from lows (after an average 49% drop)…which would take SPX to 3180…
Source: Bloomberg
As Johnny Depp said, COVID deaths tell no tales of economic collapse…
