"Beneath some burning, unknown gaze
I feel my very wings unpinned.
And give my name to the abyss
Which waits to claim me as its own.”
Charles Baudelaire, Lament of Icarus
"Even great men bow before the Sun; it melts hubris into humility."
Dejan Stojanovic
"But, what creates the most intense surprise,
His soul looks out through renovated eyes."
John Keats
Stocks just could not get much lift today, despite early rally attempts centered on the SP 500 futures.
Tech was just a dead weight, and the financials could not carry the ball when it was handed to them.
Tech and financials have been the lead sled dogs throughout this entire post-election rally.
And unless a substitute can be found, it is going to be difficult for stocks to be able to pick up the moment again.
I had to chuckle a little this afternoon. The pundits and spokesmodels were making the case that the problem with stocks is 'isolated' to the extreme overvaluation in the big cap techstocks and the mispricing of risks in constructing their future profit and cash flows.
Nice theory. But that is like saying that a fellow's health problems are limited to his failing heart.
Tech has been 'the market' for some time now in this parabola of pricing. And the big five are stumbling badly.
Not that they have gotten any worse per se. Rather, the assumptions about them are getting less ridiculous.
Gold and silver were lower today, in what looked like a technical cross-currency play with the US Dollar. I have included the chart for Uncle Buck below.
In other words, their price performance has nothing whatsoever to do with supply and the demand in the short or long term-- it is a pricing exercise carried from the currency markets, which are some of the most manipulated markets around.
So let's see what happens next, with attention towards Shanghai and Hong Kong in particular where the commodity markets tend to touch down to the earth a little more often. Comex NY price action is like a game of Liar's Poker.
Markets will be closed on Friday. Tomorrow may have just charts as it is Maundy Thursday.
Have a pleasant evening.
