"Almost 20,000" Dow Disappoints For 7th Day In A Row Despite VIXtermination
By Tyler Durden
7th day in a row of hope for Dow 20k…
It's a real cliffhanger…
Before we start – 2 WTF Charts of the day…
This is the stock is best in The Dow this year…
And this is the stock that is most responsible for The Dow's post-Trump surge…
That's the market you're buying ladies and gentlemen!
So, despite a massive monkey-hammering of VIX to a 10 handle at the opening, Dow 20,000 remains elusive…NOTE: Very odd action in VIX and The Dow today – super noisy. Dow's narrowest trading day since 2013.
Future show that overnight was quiet – pumped into the open then dumped when VIX ran out of steam… and an ugly close…
VIX puked to a 10-handle – its lowest since July 2014… (before that this is the lowest since March 2007) – note the last two times VIX droppped for 5 consecutive days was in July and October and was followed by a huge spike in vol.
The correlation between high- and low-beta stocks has collapsed to the lowest since the peak of the dotcom boom…
Despite red across all majors today, stocks remain green on the week, but the S&P is lagging (Small Caps best) – Trannies and Small Caps worst losers today…
Financials managed to hold green post-Fed but everything else is lower…
Volume has collapsed…
Bonds were bid again, pushing yields lower across the curve (lower on the week)…
The Dollar Index fell very modestly for the first time in 7 days…
Copper remains the week's biggest loser but crude (and silver) slipped notably on the day…
Ugly-ish day for crude – dropping on Libya production and an unexpected crude build…
Finally, we note that the turmoil in China/Hong Kong money markets has sent the Hang Seng to 13-year lows against The Dow – getting closed to support at parity…
Source: "Almost 20,000" Dow Disappoints For 7th Day In A Row Despite VIXtermination
