Stocks Take An Awkward Pause
In the past few days stocks made new all time highs and today's awkward pause comes right before earnings season starts. TheoTraders must stay aware of the macro economic picture of the global economy. Tonight I want to highlight one of our TheoDark reports that showcase a major opportunity in Japan that we will be…
Barn Burner 30-Year Auction Shows Some Yield Still Beats Negative Yields
Do you hear that? It’s a big sigh of relief. Yesterday, we walked you through a disaster of a 10-year Treasury auction. Lowest bid-to-cover since March 2009, lowest indirect takedown since January of last year, and on, and on. We also explained why you should care. Negative yields in Germany, Switzerland, and Japan have driven…
Will The Earnings Recession End? One Bank Says Yes
Well, we hit new record highs on the S&P Tuesday. Is the rally for real? Let’s take a trip to technical analysis land and ask the imaginary chart patterns. Here’s BofAML technical analyst Stephen Suttmeier: “There were 414 calendar days between the May 2015 high and the recent one. Since 1929 there have been 24…
Shopping for Value at the Helipad
We take a look into the last 100 years of the S&P 500.
“Going Once, Going Twice”: 10Y Treasury Auction Has An “Oops” Moment
Oops. Going into this week’s 10- and 30-year Treasury auctions, there was a palpable sense of trepidation among some traders. Take Bloomberg’s Richard Breslow (whose daily market commentary is fantastic if you can get your hands on it), who wrote the following early this morning: “Today and tomorrow, the U.S. Treasury is auctioning 10-year and…
Theory Officially Triumphs Over Common Sense As Markets Hit Record On More Helicopter Talk
Theory Officially Triumphs Over Common Sense As Markets Hit Record On More Helicopter Talk So there are only three charts you need today. The first is a two-day chart of the yen: The second is of course the S&P: And the third comes courtesy of Google Trend: We talked at length on Monday about what’s…
New Highs and FedSpeak for a Sideways Week
Markets hit new highs... here's what to expect going forward.
Earnings Season Kickoff: A Look Across The Market
As we get set for what promises to be a rocky earnings season (consensus has S&P earnings falling for the fifth consecutive quarter), let’s take stock of how far we’ve come since Brexit. Here’s a look at global equities: Not bad, right? UK stocks are up 11% off the closing lows on Monday, June 27.…
“Get To The Chopper”: Japan Election, Bernanke Visit Fuel Helicopter Money Rumors
We’ve talked plenty in these pages about the ebb and flow between the Japanese yen and risk assets. Simply put, the yen is a safe haven currency. When you wake up to see it’s appreciated sharply against the dollar in the overnight session, you can pretty much immediately infer that the mood out there is…
Relationships in the Market
There is divergence in the force... the market that is. Looking at the 3 major indexes - the SPX, RUT, and QQQ - the weakest index has become the strongest and the strongest the weakest. One thing that we have been harping on is historical volatility vs. implied volatility. Everybody wants to be premium sellers…