This past week the Archegos saga continued to unfold as the forced selling in a number of formerly high flying stocks had traders guessing if there was another shoe to drop.
Is the saga of Archegos a one-off or is it the tip of the iceberg indicative of a larger systemic issue?
While many of Archegos’ holdings saw selling pressure throughout the week, equity indices continued to make their way back to all-time highs with the SPY breaking and closing about 400 for the first time. The rest of the indices now appear ready to join the upside.
With that as a backdrop here’s some food for thought in this week’s video: