Equity values were pushed higher on the strength of synthetic trade that eliminated risk and allowed all asset values the chance to drift higher in low-participation rallies that few investors seemed to enjoy as commodity inflation increased out of dollar hedging rather than global demand.
The house of cards will stay in place just as long as equity values hold S&P 500 futures above 1225, but any moves lower may well draw in the speculative volume that is missing from the current market environment.
Currency valuations have not moved too far from the November price ranges, with very few indicators at the moment pointing to anything other than a continued crawl sideways that runs into the year-end.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.
Additional disclosure: TheLFB runs an automated trading program that is constantly one side of the dollar or the other, in-line with the detail posted in the article.