David Byrne had no idea that he would become such a meme-worthy fella when he and bandmates Jerry Harrison, Tina Weymouth and Chris Frantz crashed into the collective consciousness in the late 70’s and early 80’s. Their third album, Remain in Light, was a collaboration with songwriter and producer Brian Eno and contained a track that would identify the band for the rest of their career - Once In A Lifetime - with its “Same As It Ever Was” refrain.
In keeping with the song, you may ask yourself if there’s anything out there that might derail the market’s rally. The VIX Mix closed yesterday with a sixth consecutive bullish reading and it would appear that we will roll into tomorrow’s holiday and a three-day weekend with another bar in the 70’s.
We had the “real” jobs report this morning (yesterday’s ADP release is considered less than authoritative) and equity markets are responding favorably into the open. That could always reverse as the day goes on, but we can expect markets to be relatively quiet as traders head for the beach.
The VIX futures continue to show some of the best contango we’ve seen in a while. As I noted on X/Twitter yesterday, the spread between the July contract and spot VIX is pretty juicy with expiration two weeks away. Should spot stay in the 16s, VIX shorts will pocket a nice profit. But the spread exists because futures traders think there’s a decent chance that something upsets the calm and causes spot to jump. We shall see!
HAVE A GREAT HOLIDAY WEEKEND!!!!
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