Top 5 Charts of the Day – December 9th 2020

#China M1 money supply (usually a leading indicator) rose 10.0% YoY in November (highest since Jan. 2018; v +9.1% YoY prior)
*Real M1 rose 10.6% YoY in November (highest since Jan. 2018; v +8.6% YoY prior) pic.twitter.com/vXp0MGAcdf

— Christophe Barraud (@C_Barraud) December 9, 2020

Chinese equities lose their liquidity tailwind heading into 2021 as stimulus efforts normalize. Nov credit issuance was in line with forecasts but only up slightly vs last year and down a lot vs spring (would focus more on direction than magnitude in the right chart though). pic.twitter.com/ZZQkkEKvlz

— Sebastian Dypbukt Källman (@sdypbuktkallman) December 9, 2020

Several banks are calling for a market pullback.

Among them, GS’ US Equity Sentiment Indicator is warning that “positioning is extremely stretched”.

Historical overlay chart – four out of five signals led to almost no pullback in Stocks (0-2%), and one fell 9% (Feb 2018). pic.twitter.com/ePEtE6AC70

— Macro Charts (@MacroCharts) December 9, 2020

Nuts.

Largest spread between Russell 2000 & its 200-day moving average since 1983.

Throughout history, this happens at the peak or the trough of the business cycle.

Have to say…

Just like the tech bubble, I never seen a market bottom at record prices…. pic.twitter.com/c9taPtVawZ

— Otavio (Tavi) Costa (@TaviCosta) December 8, 2020

Call Volumes "Absolutely Absurd" – Nomura Warns Sentiment Overshoot "Getting Scary" Ahead Of Quad Witch https://t.co/BIcYKcx6Lc

— zerohedge (@zerohedge) December 8, 2020