- US Payrolls rise less than projected
- Intel Lowers Q3 Revenue Forecast
As far the the VIX is concerned, it collapsed this week to 14, close to the lowest levels since 2007. Undoubtedly; complacency and confidence are at extremely high levels.
At the same time, IWM; the ETF on the Russell 2000 - which I like to call the Equity Junk Index - rose back 84, higher than the top reached in 2007 and close to the all time high made in April 2011, just before one of the biggest 20% drop ever.
Bubble currencies and commodities popped:Silver, Gold, CAD, AUD and my friend SS sent me a chart of the DSI for Silver, which is now comfortably sitting at 88, meaning extreme optimism even though price-wise, we are still 40% below the top reached about two years ago now.
In the meantime, reports about $200 oil have been resurfacing and the final confirmation currently missing is for Sprott and his accomplice in foolishness Embry come on the TV to talk us about Silver $1,500.
In the meantime, real economic news coming from anywhere is very poor. With that level of complacency, I wouldn't be surprised if we saw another repricing of risk very shortly. Why not Tuesday after the iPhone 5 has been announced? Apple driving some much of the market, it's highly likely that the sell the news behaviour will mean a peak for AAPL and for the equity markets...