Morning 1-7

  Run out of Words to describe the resilience of the Stock market after yesterday’s Actions on Capitol hill, also Vix closed lower yesterday by 1%. Bitcoin on the other hand Continued to rally as lack of Confidence in the Government =Buy bitcoin.  This morning Currently trading +5%. After all the chaos yesterday, Congress did confirm the Electoral votes and declared Biden as the next president.

  So far this morning Stocks Higher Spoos +15 handles, Nasdaq on the Bid +.7% but Russell lower today as the rotation trade takes a pause, Dollar higher so far today helping the rotation pause. European Stocks Mixed, Crude small bid and a bit of a surprise both gold and Silver also trading higher.  Bigger picture view does the Dollar start to find a bottom as the   Expectations of higher inflation start to push a bid into Dollar??  Treasuries sideways so far today but 10 year yields still above 1% lost in yesterday’s chaos Dems did win both Senate Seats in Georgia run off.

News.

  • Goldman lifted US growth Expectations due to Dem senate control and went on to say that the rotation into value stocks has more room to run. -BBG
  • Citi cut US stocks to neutral another common theme for 2021 from the big banks.
  • Tokyo still struggling to slow Virus spread.
  • Average food prices for 2020 at a three-year high… United nations pro farmer
  • Moderna expects vaccine to offer two years of protection…
  • Tyson reopens Iowa pork plant after a three-week closure.

Yesterday’s Minutes revealed zero urgency to change anything. Given that for the last arrow in the quiver, “all participants” favored continuing the current pace of purchases. “Regarding the decisions on the pace and composition of the Committee’s asset purchases, all participants judged that it would be appropriate to continue those purchases at least at the current pace, and nearly all favored maintaining the current composition of purchases, although a couple of participants indicated that they were open to weighting purchases of Treasury securities toward longer maturities.” IFr

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