Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

stocks bonds sink despite hot apple roasted turkey euphoric fed

Seemed appropriate…

[youtube https://www.youtube.com/watch?v=2zfqw8nhUwA]

So Apple beat expectations…and a buying panic ensued…

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

But disappointed everyone by not becoming the first company to be worth ONE TRILLION DOLLARS today… Doubled in size since June 2016

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

Little to no real initial reaction to The Fed statement… and then the machines remember that they are supposed to bid stocks and puke gold…

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

Futures show the reaction shortly after the close to Apple (green) and Trump’s tariff headlines (red) and then the pump and dump through the EU close…

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

Despite AAPL’s help, S&P and Dow ended red with only Nasdaq green on the day… (NOTE the ramp in AAPL to get the S&P green very briefly – that failed)

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

While AAPL ripped, FANG stocks could not catch a bid

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

All eyes on Tesla after hours as bonds lead the carmaker lower…

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

Wells Fargo was funny – dropping ion its big fine and then ramping in a buying panic…

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

Treasury yields were higher across the curve with the long-end notably underperforming…

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

With 10Y Yield topping 3% (the same as at the June Fed hike)…

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

Before falling back to hover around the 3.00% into the close…

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

The yield curve steepened

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

The Dollar Index ended the day practically unchanged

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

The Turkish Lira collapsed to a new record low (above 5.00/USD) after US sanctions…

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

And Offshore Yuan slumped (after another weak Yuan Fix)…

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

Cryptos tumbled overnight on South Korea tax headlines but bounced back a little… (Ripple ripped)

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

Commodities remain lower on the week, with copper leading the drop…

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

*  *  *

Finally, we offer three charts:

First, Atlanta Fed’s GDPNOW model is forecasting a 4.95% GDP growth in Q3…

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

Second, despite the hopeful forecasts for US economic growth, the housing segment is collapsing…

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

As Gluskin Sheff’s David Rosenberg notes, “The Fed could get away with using the term “strong” three times in the opening paragraph and five times throughout because it conveniently missed discussing the housing market!”

Third and finally, Consumer Confidence measures are flashing a very loud “late-cycle” warning…

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed

And, once again, as Gluskin Sheff’s David Rosenberg notes, “The gap that has opened up between consumer confidence for the present and future is so classically late-cycle. As in, no more pent-up demand. Consider this a near-2 SD event. Take out the umbrella!”

* *  *

Happy 20th Anniversary on CNBC Michelle

Stocks & Bonds Sink Despite Hot Apple, Roasted Turkey, Euphoric Fed
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