Submitted by Tyler Durden on 05/17/2013 16:08
Whoever orchestrated the last two hour closing ramp sure has a satanic sense of humor, opting to close the S&P at 1666 or exactly 1000 points above the “generational” low. A late-day desperation to buy-buy-buy, triggered by an avalanche of stops being triggered in the DAX futures market as it broke all time highs, sent stocks soaring. Treasuries had been weak all day giving back yesterdays gains and more. The equity spurt was not accompanied by VIX or Credit or Oil or Copper but JPYs break of 103 was another trigger supporting the rise. But that doesnt matter. The release of weak IP and in-line CPI data on Wednesday seemed to trigger the change as gold and silver diverged lower from copper and oils surge, Treasuries rallied, and stocks and the USD surged thereafter. WTI crude ends the week unchanged against a USD gain of 1.37% with PMs down 6-7%. Volume was light today but that doesnt matter either.