Rising from the Ashes – Even for a group of names that has had any number of days that the market found astounding, today’s move was impressive. Yes it remains off its highs from early February but its getting closer, and those that jumped in the short side of that trade (and it was voluminous last week) are already feeling the pain as those that got routed last week (hello Tesla) are doing their best to claw back the losses. For months there was an expectation the lofty $1.9tn relief bill price tag would be trimmed and perhaps significantly. But the reality of that figure coming to pass when President Biden signs the bill today (moved up a day and highlighting the admin’s desire to hit the ground running) seems to finally sinking in. On top of signing the gargantuan bill, there is the anticipation he will reveal some details on the “build back better” infrastructure program. Nearly all sectors in the green as banks take a breather, and the S&P 500 and R2K make new intra-day all-time highs. Even NQA futures above 13k bucks the downtrend line from the mid-Dec high. And as you can see below, strong breadth usually leads to higher moves; happy days!
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