Summary

• More risk on. EM bond yields x/ Turkey & Indo and Euro spreads in on the week
• U.S. credit continues to rally
• The dollar a bit stronger, EM FX weaker
• Euro stocks on fire last week led by Italy, up 4 1/2 percent
• Russell in a huge ramp this year, up over 16 percent.  Where is the recession? What will the Fed do?
• Crude breaking out

Commentary:  Markets partying like the world is on the verge of a huge global growth spurt.  Yet we see commentary the Fed will be cutting  rates and buying Treasuries later this year even with core CPI consistently running over 2 percent.

Moreover, the inside scoop is that China is not moving on big issues but POTUS says all is well with trade negotiations.

Markets need their own version of the 25th amendment.  Waaay overbought, steering clear, and selling.

Happy Presidents Day and happy hunting this week, folks.

Crude Breaking Out