Traders ‘Liquidating Positions Everywhere’ Upend Markets
Margin calls and selling oh my….
Testing that nice round number of 20k on the DOW-cap#2. 10 year T note is back up above 1% yield-Cap#3. oil is barely hanging on to $24/bbl-cap #4. Silver got a customary hit job on the opening of the NYMEX and has recovered a little of that. Still down -3.46% Cap#5
The world’s largest exchange-traded fund, SPDR S&P 500 ETF Trust, saw investors withdrawing more than $6.5 billion in the latest session – the most since October 2018, according to data compiled by Bloomberg. Meanwhile, the $70.6 billion iShares Core U.S. Aggregate Bond ETF has posted eight straight days of withdrawals, with investors yanking a record $4.5 billion from the fund in that span.
From funding stresses to headaches about trading from home, the Wall Street worry list is a long one right now. One item is creeping up that list fast: Unreliable havens.
Stocks tumbled anew on Wednesday as the turmoil sparked by the coronavirus continued to build. The S&P 500 Index slumped more than 5% at the open, almost erasing a bounce from a day earlier as it tracked losses in both Asia and Europe.
But the most eye-catching moves were in the bond market. European government obligations including bunds tumbled at the same time as stocks in the region. Treasuries fluctuated, threatening to extend their decline a day after the biggest yield jump for 10-year U.S. bonds since 1982. A similar dynamic took hold earlier in Asia. The synchronized drop is not something that’s supposed to happen, and it’s a threat to classic diversification strategies where bonds are used to hedge stock declines. To add insult to injury, gold – a haven for centuries – is also down in Wednesday trading. The trigger for the latest synchronicity is government announcements of stimulus measures to fight the outbreak, as investors adjust to the likely flood of new debt issuance and its impact on growth.
All the same the bond rout in conjunction with stock declines is one of a series of dislocations sweeping major assets as investors liquidate exposures including bond positions. Illiquidity and extreme positioning make for a dysfunctional market.
Just last week, ETFs tracking U.S. large-cap stocks and long-dated bonds saw their sharpest combined loss since TLT was born in 2002 – another reminder their inverse relationship doesn’t always hold during crises.
https://finance.yahoo.com/quote/%5EDJI
https://www.bloomberg.com//news/articles/2020-03-18/traders-liquidating-positions-everywhere-are-upending-markets
https://www.kitco.com/charts/livesilver.html
https://www.marketwatch.com/investing/bond/tmubmusd10y
https://www.macrotrends.net/2566/crude-oil-prices-today-live-chart
FALCON03 E-4B Nightwatch west from Wright-Patterson AFB
VENUS91 C-32A out of JBA sw and AZAZ0909 USMC C-560 out of JBA and north-going to Utica, NY?
whatever is not nailed down is being sold. Sort of a theme the last 2 weeks. Tested 20K-this is just a number and means squat but it is a psychological point.
doing well fren. keepin it as real as can be.
saw last night you ok and having some peace. good for you.
raining today so be here for a bit.
o7
LOBO474 USMC C-560 from MCAS Cherry Point on final at Lake Charles-Cheannault Int'l
R01052 USMC C-560 out from JBA and southeast
VM767 USMC C-560 out of Dobbins and ne
chek't quads of troof
PAT009 USMC C-560 out of Davison Field nw and VENUS91 with a wide track and returning to JBA it would seem…hmmmm
Current Commercial Traffic at SLC. No one going in/out
he's not. got the "fuck dad it's raining" look.
If he wasn't such a pussy I'd go out in it. Just water.
yw
and it didn't fuckin' crash either! Seems that improved the same time the google algo did.
we had 2 cats for 19 and 20 years but lost them to old age last year and year before.
Had long lives so not an issue, had to put them down for own good…ours too-not fair to them imo, lost functions. Done with cats for now.
Just had a fren call me and said "WTF is going on???" Laughed hard and told them all will be well and don't give in to the reactionary bs you see.
they have been around before but never as many as last few moths. They are Citations and are not really electronically oriented but can have some smaller monitoring equipment. My guess is that we are not seeing the plane(s) switched on that are running this show from above. Someone is.