One of our favourite Christmas stories How the Grinch stole Christmas comes to mind this morning, as stock markets roared out of the gate in early optimism following yesterday’s drop. Lots of more low-volume noise. So far the clarity of charts reiterates the main trend: risk assets down. The Dow and the Canadian dollar remain caught under long-term support lines. So long as that theme is in tact, risk remains tilted to the downside.
Dow:
Canadian dollar/US:
Follow
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Here Comes The Real Stress: Only 27% Of China Project Loans To Be Repaid In Full
http://www.zerohedge.com/article/here-comes-real-stress-only-27-china-project-loans-be-repaid-full
Confirmation That Only Sovereign Bond Losses On “Trading Books” Will Be Considered Validates Stress Test Irrelevancy
http://www.zerohedge.com/article/confirmation-only-sovereign-bond-losses-trading-books-will-be-considered-validates-stress-te
Europe's Financial Giants Nervous Ahead of Stress Test Release
http://www.spiegel.de/international/business/0,1518,707957,00.html
Gold, BIS etc
http://www.zerohedge.com/article/guest-post-gold-swap-signals-roadmap-ahead