Dow: +152.84…
Nasdaq: +21.31… S&P: +17.93…
The market opened lower but then caught a bounce after Pelosi said that a stimulus deal is “just about there”.
We shall see. There is so much political posturing from both sides right now that its hard to believe what some of these troglodytes are telegraphing.
The market, in general, is still very long, but not as long as just a few weeks ago. Just peeling off exposure a little, or the start of a significant sector-rotation?
According to Goldman…..
“After significant long buying in September and early October, hedge funds have started to sell FAAMG again collectively as a group, FAAMG has been net sold in five of the past six days (8 of the past 10) on the GS Prime Broker book, driven by long sales as well as short sales. The group’s aggregate long/short ratio on the GS Prime book now stands at 20.65 (-4% MTD, +88% YTD), which is in the 86th percentile vs. the past year and in the 79th percentile vs. the levels seen since Jan ’17”.
Basically, this just tells me that everyone is really long until they’re not. No one wants to blink first, but when the blink happens they all hit the window at the same time.
When you look at a momo darling like FSLY, and what they have done to it lately, it shows you that. $135 to $78 in about a week. It happens fast.
What’s wrong with INTC? It reported after the close, the #’s were all flat to up but that wasn’t good enough. The stock is down over 7% in aftermarket trading.
Bad for INTC, good for AMD.
In other news….
Goldman Sachs has admitted to conspiring to violate the Foreign Corrupt Practices Act (FCPA) in connection with a scheme to pay over $1 billion in bribes to Malaysian and Abu Dhabi officials to obtain lucrative business for Goldman Sachs, including its role in underwriting approximately $6.5 billion in three bond deals for 1Malaysia Development Bhd. (1MDB), for which the bank earned hundreds of millions in fees. Goldman Sachs will pay more than $2.9 billion as part of a coordinated resolution with criminal and civil authorities in the United States, the United Kingdom, Singapore, and elsewhere.”
The stock was +1.4% today. I guess crime pays because no one ever really pays.
The dollar rallied back today and gold and silver were down.