“Buy programs!” sniffed the bearish trader in our IM window just now.
After a holiday-shortened week that could’ve killed the rally — treasuries soaring, the mortgage market in utter disarray — stocks rallied again!
The unbelievable strength of this rally is why so many traders are absolutely convinced that there must be manipulation going on, whether it’s the government’s plunge-protection team or Goldman Sachs (GS).
Whatever it is, after languishing through much of the day, stocks soared in the final minutes out of nowhere, signalling a healthy thirst for stocks ahead of the weekend.
The S&P 500 finished up 3.6% for the week, while the Dow managed to end the week just above 8500.
Here’s the crazy end-of-day move that knifed the bears dead.