A Horse Walks into a Bar – And the bartender asks, why the long face? Seriously though – on its face, you’d think the market would be enjoying a positive day with the balance of news being in the words of Gaylord Focker, strong to quite strong. Economic data on balance read well, with retail sales the star of the show, coming in well above expectations and nearing pre-pandemic levels. (Although a leg is about to be kicked out from this support) Jobless claims came in slightly above while continuing were below. We got a mix of sectors reporting today, with healthcare and banks being the highlights, the latter rounding up the week for the IBs. Again, the thrust of reports were positive, yet all indices sit in the red. One reason for the dour reaction? Despite a massive windfall for the reporting banks this week, they’re still prepping for a deluge of bankruptcies to come. The worst part? They don’t really have a clue how bad that’s going to be. Because of this, investor sentiment remains bearish (everyone hates this mkt remember?), but remember this usually serves as a contrarian buy indicator.
The content on this site is available to all Redburn clients as part of Redburn Execution’s standard service. It is not considered substantive research and there are no commercial implications to viewing these pages.
Please enter your email address below to view this page. If you are still unable to access the page, please speak to your account manager.