Short Squeeze Sparks Small Caps Surge But Big Banks Drag Down Dow With consumer confidence tumbling to 4-month lows, weak housing data, and don't forget America (as Biden said today): "our darkest days in the battle against COVID are ahead of us!!!" So.. buy small cap stocks with both hands and feet!! (and sell everything else)... All thanks to yet another epic short-squeeze... Source: Bloomberg Small Caps (Russell 2000) outperformed Big Caps (Dow) by the most since July today, pushing the Russell to its strongest relative to the Dow since September 2018... Source: Bloomberg Dow tested 30k once again... Bank stocks retreated further today, unwinding more of the Stress-Test-based buyback-enabling jump from Friday night... Source: Bloomberg Tech was best today as Energy stocks sank... again... Source: Bloomberg Bonds were bid today with the long-end yields down around 2bps... Source: Bloomberg 10Y Yields have been trading in a very tight range for pretty much all of December... Source: Bloomberg The dollar managed gains after yesterday's chaotic roller-coaster... Source: Bloomberg Ripple was routed in the last couple of days as the company faces an SEC lawsuit, Bitcoin dipped early but ended higher... Source: Bloomberg Gold faded more today... Silver was slammed more... WTI fell back below $47 ahead of tonight's API inventory data... Finally, real yields continues to collapse, suggesting upside for gold... Source: Bloomberg Tyler Durden Tue, 12/22/2020 - 16:01