Risk Hits Record Low, Ripple Ravaged As Gold Has Longest Ever Win Streak

Quick summary of this week's records:

  • Record highs for S&P, Dow, and Nasdaq.
  • Lowest VIX close ever.
  • First time VIX has ever traded at or below 9.00 for 3 straight days ever.
  • Nasdaq's best start to a year since 2004.
  • Near record streak for stocks to remain within 5% of all-time high ever.
  • Individual investors highest stock exposure since 2000.
  • Fastest yield curve flattening since 2007.
  • Longest streak of complacency for risk ever.
  • Longest winning streak for gold ever.
  • Longest winning streak for global commodities ever.

So stocks opened gap up on Tuesday and never looked back...Nasdaq was the week's big winner...

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As SentimentTrader.com notes, individual investors have the most stock exposure since 2000, and their short-term optimism is now rising. It has done an about-face during the past two months, going from pessimism to the 2nd-highest optimism since the 2009 low.

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Additionally, Citi's Macro Risk Index has now been below its neutral level (meaning relatively low risk aversion) for the longest period in its history starting in 1997. The last time it measured higher than average risk aversion was November 2016.

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VIX closed at record lows this week and traded at 9.00 or lower for 3 straight days - something it has never done before...

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Gold was the day's big winner post-Payrolls... until the late-day meltup in stocks...

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Investors were buying anything with risk... High Yield bonds had the best week in 5 months, smashing back above the 200DMA...

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Despite all the equity exuberance, the Treasury yield curve hit new cycle lows and ended flatter on the week...

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Treasury yields did rise on the week, snapping higher today after the dismal jobs data...

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The Dollar Index fell for the 4th straight week, closing at its lowest since September...

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Gold and Bitcoin had a big week....

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Copper's first weekly drop in a month as the rest of the commodity space surged to the longest daily win streak in history...

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https://www.zerohedge.com/sites/default/files/inline-images/20180105_eod9.jpg

And in crypto-land, Ripple unraveled today - crashing 35% - before ramping back higher on headlines about Western Union adopting the protocol... ETH (topped $1000) just outperformed XRP on the week...

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and Bitcoin topped $16,500...

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And don't forget - Tepper and Cohn have now told you that stocks are not expensive...

Nope...

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1

Nope...

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Forward P/ETWO

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