Zero Hedge comments as always, a much more rational credit market is not following the sudden intraday exuberance of stocks, which are trading in lock step with the DXY and specifically the EUR-JPY pair: every correlation engine is primed to copy step for step how the Euro and Yen trade in the stock market. With all indices green for the day, the culprit is solely the DXY which has taken a downleg over the past 30 minutes for no particular reason. In the meantime IG, HY, SovX and, yes the STUPIDs, have all put their fireman’s hat on: IG is 2.5 wider, HY is 15 wider, SovX is 6 wider to 112, the UK passed a hundred and the prevalent STUPIDity is surging to 242 from 235, another recent record.
