Report Trump has signed off on plan to reduce tariffs for 3 months

Larry Fink Letter: “In my 44 years in finance, I have never experienced anything like this”
1. Many of BLK’s clients are looking to increase their equity allocation in this market; “Tremendous opportunities to be had in today’s markets”

2. Reevaluating assumptions: “our infatuation with just-in-time supply chains or our reliance on international…[Read more]

Goldman Sachs: 1. Last week buyback was tracking 0.6x vs 2019 ADTV, 0.6x vs 2018 ADTV, and 0.9x vs 2017 ADTV.

2. We estimate ~90% of the S&P 500 are now in their blackout period

The new bull market doesn´t need no buyback support….

JPM: risk of a wave of heavy hedge fund redemptions low
1. Risk of a wave of heavy hedge fund redemptions causing a double dip in equity markets similar to March 2009 is low in the current conjuncture.

2. The anecdotal evidence we have from our conversations with our colleagues in Prime Finance business as well as investors and fund…[Read more]

Tony P sees S&P500 coming down again to 2000-2300 range
Tony Pasquariello, macro guru at GS does not think market has bottomed.

1. Positioning much cleaner than a month ago, but not yet “fully clean”…

2. corona news (from a US perspective) still not at peak awful

3. market propped up by month-end rebal flow

4. market will trade lower as…[Read more]

GOLDMAN: “.. we believe it is likely that the market will turn lower in coming weeks, and caution short-term investors against chasing this rally.” History shows bear markets “are often punctuated by sharp bounces before resuming their downward trajectory.” (Kostin)

MS communicating bullish tone on Sunday´s cross-asset call. Remember that they switched to “constructive” last Sunday, which in hindsight was a perfect bottom-picking call.

1. Monday lows will hold

2. will not get an equally “fat pitch” again in this cycle

3. Fiscal & Monetary response better than expected and will be enough

4. the…[Read more]

Notables from last week:

1. NDX lagged
2. Correlations tightened
3. Failed to fill gap 2711(SPX)
4. VIX ROC remained elevated
5. VIX -.76% while SPX 10%+
6. No peak in epidemic curve to-date
7. Italy epidemic curve improved
8. Jobs jobs jobs
9. DXY weakened
10. Spreads tightened