Settles GFBP & BTC
With further lockdowns ensuing, we can’t help but continue to warn our readers that Covid and the Election, our two highlighted volatility causing themes continue to play on here. States are once again going full Draconian in hopes of thwarting this 125nm culprit. We aren’t sure enough is being done in regards to real empirical cost/benefit analysis, yet we aren’t the paid political decision makers so we must digress.
Anyway we find ourselves on the cusp of that disappearing flu season as all cases are now seemingly Covid. We continue to clamor for more data and real on the ground analysis so that we can all make sense of what is transpiring. Look these times are indeed strange, we know it, you know it, but we will get through all this and we must all collaborate and share data and information and not jump to any illogical conclusions.
The overall market tone has and continues to be a bullishly cautioous one in equity markets, yet we don’t think this should be the case. We feel that optimism as powerful as it may be, often leads to complacency and that’s when large one off moves can occur. So let’s beat the dead horse further and say, we recommend you stay nimble here because the future is quite uncertain.
Yea we have a potential Vax, yet we aren’t sold on the fast tracked data, nor do we think adequate public data is out there in regards to efficacy vs risks. I’ve been hearing 80% tossed around lightly but is that symptom treating is that potential, is that even accurate??? Well one thing is certain Pfizers CEO took it upon himself to take the good news and dump a few million worth. We have seen reports of this, and they are blown way out of proportion, in fact we would just think that’s rather the normal course of CEO business.
Now if we look at the Bezos, well now that’s another story, that is some real cheddar being monetized out of the markets there $10.2 Billion in fact this year alone by unloading 3 million shares! Now that’s the real dealio there folks, even the NYPost decided to write a little bit on this, here is the link- NYP BEZOS
Our earlier note highlighted the largest ever 30Y US Treasury auction which saw a decent tail come in on the $27 Billion issue, much to the delight of any and all Treasury trading arbs out there, (ahh the good ole days of free money!) So let’s move on to check out where the dust settled today:
The long end performed very well as the US Govt Yield Curve was flatter as the 2s30 gave up 6.9 basis points:
Equities were all lower across the board and we will continue to watch the 3498 area in the SP500 for further downside momentum as the candle stick hammer is still in play:
Finally Magnelibra’s Global Futures Benchmark Program Positions Tracker saw a decent gain today as the long end of the curve outperformed and equities backed up. The FX was mixed, and Silver was outpaced by Gold. No changes to the tracker today:
Finally, we wanted to highlight the Bitcoin chart where the 0.786 Fib should put a stop to this rally here as extensions seem a bit over the limit, but we aren’t faders and would rather see a trade back below $16,125, but don’t be shocked if a large chunky seller shows up here soon even Hodlers take profits at some points:
We do pride ourselves in our analytics and the work we have done developing this program, as always our goal is to present the tracker as our sentiment for the markets we cover and shed some light on how we actually navigate things from the long/short/neutral perspective. We feel our cross asset sector correlation model is superior to a general CTA trend model and thus offers us the type of dynamic flexibility required in today’s algo-driven market.
As always, please share our work and subscribe if you haven’t already, your continued support allows us to bring you relevant and important market analysis and content. We are underpriced with the free tier, way underpriced with a 2 latte a month style and about just right for the Founders which has access to our Global Futures Benchmark Program positions tracker daily. We hope you enjoy our work and we hope you continue to support us.
-Magnelibra Econemotions
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