TFP market summary for Thursday February 14, 2013

 
15 min ES_F 

The market gods provided you with a interesting session for this commercial holiday of V-day. What made today interesting?

The fact we had bonds dollar equities and crude all higher on the session, the SPX closed on a new 5 year high of 1521.38.
ES settled around 1518 after trading into 1520.75. 1522 is the 2013 high.

Absent from today? a crush of equities despite a nearly 1% move in bonds up from their early Thursday morning lows.

ZB 15 min 

The fed is doing their dance in a non-sterilized fashion, ie doing outright purchases of bonds on the open market which explains the nonstop strength in in the med-long bonds throughout the entire session up into the 30 year auction and after.

Currently the spooz is offered with support @ 1516.50, though we have a strengthening YEH pushing down on risk… specifically metals precious and non precious… 1631 is GC line in sand… under its 1622

4 hour GC .. note the white box

I am not a PM so really bonds are just a tool in my contextual toolbox, the moves are so large in bonds without a account the size of ben bernanke’s you cannot hold a positive of any size without fear of waking up to a margin call the size of the UUS Ronald Reagan.

As for tomorrow.. if yen keeps rising and the 30 year moves back of 143’21 equities will *likely fall back to 1510 which was support this morning. Under 10′s its 5′s then double zero’s then 1490.25 …

Under 1490.25 we correct to 78′s. Things will get live real quick. The froth this past two weeks has been absurd.

Related Hedge Accordingly Content
  In his first interview since leaving PIMCO, Dr. Mohammed...
H∆ Top10
Mohammed El-Erian on Gross: He One of World’s Best Investors
Krugman to Tom Keene: Nobody wants us to become Cuba
Bill Ackman on Allergan: "No one is being raided" "SIMPLEST TRADE IS TO `BUY VALEANT STOCK'" $AGN $HLF
Carl Icahn: I don't talk positions BUT... I might be buying $eBay
Michael Lewis Author of 'Flash Boys': David Einhorn is like a 'Dumb Tourist'
Gross to El-Erian: 'Come on, Mohamed, tell us why' you left...
Theoretical $SPY chart foreshadowing a 2015 crash?
Marc Faber: China's Unwind 'Will Be a Disaster' Among Other Things
Real-Time Charts
Fed Pres Bullard: Inflation to head higher; Unemployment falling to 6%; Fed 'closer to normal monetary policy

Archives

wordpress stat
Hedge Accordingly by HedgeAccordingly is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
Based on a work at http://www.hedgeacccording.ly