Saturday, 14 January 2017

A mixed week

US equity indexes closed moderately higher, sp +4pts @ 2274. The two leaders - Trans/R2K, settled higher by 0.6% and 0.8% respectively. VIX settled -2.7% @ 11.23. Near term outlook offers upside of another 2-3%, before next realistic opportunity of sig' cooling to the mid/low 2200s.




US equities ended the week on a naturally rather subdued note. It was however very notable that the Nasdaq comp' broke yet another new historic high.

With no real equity downside power, the VIX remained subdued, briefly trading in the 10s, but settling in the low 11s. There were further large blocks of VIX Feb' calls bought, as some are understandably of the view that the equity market is due for a sig' retrace, something on the order of 3-5%... no later than mid Feb.

A long weekend is ahead...

Ice Cold in Alex, 1958
...'Worth waiting for'.

Goodnight from London

*the weekend post will appear Sat' 12pm EST, and will be on the US monthly indexes