The pain trade – The march of historic days continues as retail trading is once again making itself herd. Although they may be involved in a handful names, the impact is becoming broader as some institutions are forced to lower some exposure (more on that below). The tape has had a defensive/ risk off posture since the open with all three major indexes lower, and a bid in Treasuries (10-yr yield at 1.009%) and the Dollar (DXY +50bps). Not all sectors are red though, with Energy gaining 1%. EIA Oil data this morning followed the API, showing a draw of 9.9mn barrels for the week. The group has been one of the better performers so far this year, but stocks have been trending lower since last week, and many are testing technical supports (the XLE itself is held the 50 day earlier). Also trading in the green, albeit under the surface, are the old WFH staples. Building on moves since Monday, Clorox (+5.3%), Campbells (+5.9%), General Mills (+3%) and Walgreens (+4.1%) are higher, although only Walgreens (new CEO from the outside) has news. Semis are leading on the downside (-3.1%) even after Maxim (-3.5%), AMD (-4%) and Texas Inst (-3.3%) all posted solid results.
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