‘Investors’ Ignore Mumbling 90-Year-Old Omaha Man – BTFD As Buffett Sells

It’s not just airlines…

[youtube https://www.youtube.com/watch?v=xlDXQdgx_QU]

Here’s the real reason why billionaire investing ‘genius’ Warren Buffett didn’t spend one penny of his massive cash pile as stocks plunged at record pace… according to his favorite broad market indicator, US stocks have never been more expensive…

Source: Bloomberg

Of course, airlines themselves were clubbed like baby-seals after Berkshire’s boss dumped them all…

Source: Bloomberg

And the “Virus Fear” trade is notably higher (i.e. fear is rising)

Source: Bloomberg

But investors are fickle and despite Buffett’s many clear warnings, they bought the fucking dip in everything else. Nasdaq led on the day…

Only Trannies were red (on Airlines)

The buying panic started around 1315ET as the following headlines all hit and the machines just decided to buy the confusion:

Good news…

• Coronavirus Defeated By Experimental Antibody That Targets Spike Protein

But…

• American Power Grid ‘Vulnerable’ To Chinese Cyberattacks, Navarro Warns

• Q1 GDP To Be Revised Drastically Lower To -8%

• NYT Publishes Grim CDC Projections Calling For Daily Coronavirus Deaths To Double By June

Futures show today’s malarkey best…Small Caps were down almost 3% overnight, only to end higher…

Today’s manic ramp was pinned around major technical levels…

FANG stocks – of course – which we are sure they will argue that Buffett does not understand – were bid…

Source: Bloomberg

But bank stocks were also battered for the 3rd day in a row…

Source: Bloomberg

And so much for The Fed’s plans to buy HY bond ETFs…

Source: Bloomberg

The yield curve steepened today (2Y -1bps, 30Y +5bps) (Japan was closed last night)…

Source: Bloomberg

Some more chaos in 10Y Yields though stick in their 3-week range…

Source: Bloomberg

The dollar manage to hold on to gains, though after an illiquid higher open last night, it was sold all day…

Source: Bloomberg

Capital flight appears to be accelerating as Brazil COVID chaos spreads…

Source: Bloomberg

Cryptos are mixed from Friday with Bitcoin higher, Ether lower…

Source: Bloomberg

Once again oil was extremely volatile intraday relative to the rest of the commodity market (but WTI ended higher)…

Source: Bloomberg

Quite a swing from down 8% overnight to settling 5% higher (on the back of a Genscape report that Cushing stocks are bit building as fast)…

Gold is outperforming silver once again (gold up along with the dollar today)…

Source: Bloomberg

And finally, if you’re really buying this dip on the back of Buffett’s “Don’t bet against America” comments… prepare for some pain…