“Buy stocks, buy bonds, buy oil, buy gold, buy something, buy Ambac – just close your eyes and throw your money at this market”, the Primary Dealers beg you. They need to sell you stuff. They have lots of stuff to sell, at bargain basement prices. There will never again be a downtick. The bond market is so extatic about the equity melt up and the coming hyperinflation (as predicted by equities) that bond are being bought left and right as well. Everyone is buying something – no point in mentioning oil and gold: buy those too. Algos will scalp a few PIPs a few billion times today: computers have to feed their children too. Correlation across all asset classes is again one, as happens every time before the market goes up by 100%.
