US equity indexes closed broadly higher, SPX +40pts (0.9%) at 4358. Nasdaq comp’ +1.4%. Dow +0.7%. The Transports settled +1.6%. R2K +2.7%
sp’60min
Summary
closing hour action: printing a new cycle high of 4373… if cooling back… a little. S/t momentum continued to weaken, and is due to turn negative Monday morning. I’d note the 38% fib’ now stands at 4270.
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… and that concludes the week. It was one bizarrely bullish week. Partly ‘bargain buyers’, bullish chasers, and most certainly.. a very powerful short squeeze.
Whilst a cooling wave is due, a subsequent up wave could easily get us to around 4400 ahead of OPEX. The wild card…. is the middle east.
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notable bond yield proxy: TNX, 60min
So the US 10yr printed 4.48%… some 51bps below the recent high.
Is that really it, on a multi-year basis?
I’m still inclined to see a secondary wave higher in inflation, not least as govt’ spending remains completely out of control.
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notable bond ETF: TLT
Bonds powering upward as yields were crushed.
Today’s candle is black from the 50dma.
For the record, I’d favour almost ANY stock above a govt’ bond.
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notable stock: SQ
Earnings were fine, with the stock jumping on news of a $1bn buyback.
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Looking to the west from my bedroom, which is as close to going out today as I came. It feels like its been raining for weeks.
Have a good evening
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more later on the VIX and Indexes by 6pm EST