2 quarters of eroding prices. Commodities finally threw the towel in (except gold). Biflation as the Central Bankers worlwide try to engineer a soft landing. Employment stable at very high levels of unproductive or underemployed folks in both the developed and marginally developed countries. The verbage has been: Moderate growth Growth but tepid. Growth but less than most recoveries. Sub-par growth. Risk of contagion lowers our growth prospects. Risk of Negative growth. Recession. Depression..... Markets do what they will but this one has been levitating oddly at support for a long time. Put the animal down so a phoenix can arise. Word on the streets is there is ton of money laying fallow........
Many downgrades today. The balloon is deflating. Sssssssssssssssssssssss.... Many funds have biweekly, monthly, quarterly, and yearly opt-in/out dates. These are happening now. EOQ buying is OVER. October is volatile. Europe is struggling. 44 billion in POMO scheduled for October by the Feds----all at the long end of the curve. Curve is flattening and we are sitting on MAJOR SUPPORT. Kind of like 7th inning with the SD Padres down 5 runs, zero out and the bases are loaded with the count 3 and 2 to Hank Aaron. Wanna go long?
Nice run up. We stalled though Pre-market in US. Important because it was a slow unwind. No one wants to hold longs over the weekend. We'll see next 2 -3 weeks if this long holds. Personally I'm loving the volatility. Trading not holding positions.