Risk On / Big Up Day

Funko was up over 4% today. I sold off 40% of the shares of Funko I was holding.

I also sold Exxon Mobil at open for a nice gain. I bought some more XOM again around $77 & just sold it off again at about $77.40. If it goes under $77 I wouldn’t mind buying a bit more. (While writing this blog post XOM fell below $77, so I just added a position again.)

Verizon, some REITs & some of the municipal bond funds sold off today, while many high beta plays were up big. AT&T was up about 1.5% (I guess they are so relative debt-levered they trade more as a risk on play rather than a risk off play).

The Nasdaq & Russell 2000 are each up about 2%. Google is up about 2.5%, Mastercard is up about 4%, Neflix is up 5% … and then as you go into some seriously speculative stuff there’s a sea of green. Yandex up 5%, Snapchat up 6%, Overstock up 5%, JD.com up 6%, Twitter up 7%, Groupon up 7%, DB up 7%, Pinduoduo up 8%, StitchFix up 9%etc.

Just about everything other than bond equivalents, Under Armor & PLAY were in play to the upside, with nearly 70% of the stocks in the S&P 500 up a percent or more & nearly 90% of stocks in the S&P 500 up on the day.

Cryptocurrencies are up along with gold miners. 

Amazing breadth.

All the above is another way of saying almost everything is up, which is another way of saying the Dollar is selling off. The Dollar index is off about a half-percent today, though it is still up over 5% YTD & up nearly 10% off the February lows.

If the market runs for another day or two like this it will suck money out of fixed income. At that point I might buy some bond-like stocks, REITs or closed-end bond ETFs, but I wouldn’t want to do anything at serious scale throughout the remainder of the year.

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