VIX Crashes To 10-Year Lows As 'Dovish' Fed Sparks Gold Gains, Dollar Losses
One look at WTI, RBOB, and VIX today and it's clear the algos are in charge... don't play...
Post-Fed, Gold was the biggest winner...
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As rate-hike odds dropped...
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The S&P was down 4 days in a row before today - the longest losing streak since the election... (Trannies were best post-Fed, but failed to get back to even)
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VIX flash-crashed to 9.97...
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Its lowest since Feb 2007...
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The index last dropped below 10 on February 14, 2007, when the Federal Reserve’s then-chairman Ben Bernanke delivered his biannual report to Congress, and the S&P 500 rallied to a multi-year high.
The Dow's moves today were dominated by AAPL...The Dow gained 26 points of which 60 were AAPL!
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As AAPL shares soared to July 2015 highs and their most overbought since 2012...
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While the dollar dumped after The Fed decision, it ended the day relatively unchanged (even as JPY strengthened)...
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Treasury yields ended the day higher (early positive data), despite dropping after The Fed... (NOTE - 2Y yields dropped 4bps after The Fed from 1.25% to 1.21%)
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And the yield curve steepened notably after The Fed...
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Total chaos in the energy complex as terrible inventory data sparked a selloff that was panic-bid ramped by algos 13 minutes later... only to crash again to the lows before melting up into the NYMEX close on weak Dollar...
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Gold bounced of $1200 overnight...
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Disclosure: None.
Thanks much Tyler.