Stocks quickly rose this morning (they gained most of their advance pre-market). I noticed that 1-month US Treasury Bills yields fell dramatically to 1.02% today. Not sure why, but this would explain why financial stocks are doing very well today, and overall the market is higher. This is a riskfree rate, and a rate that you peg to for interest-bearing savings accounts. When the riskfree rate drops, stocks are actually worth more, and banks are expected to earn more.
The longer term UST did not rise (yields did not fall). This is only on the short-end of the stick (or yield curve).
VIX fell 5% today. I guess people are no longer worried about stock market volatility, or at least are not willing to pay to protect against it.
Russell up 2.0%, S&P up 2.6%, and NASDAQ Composite 100 up 3.0% today as we write this at 1442 ET.
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