S&P 500 just hit a new all-time high of $7,000 right in the middle of the worst energy crisis in decades. Since 1928, this is the first time the S&P has made new all-time highs in 11 days or fewer after falling 5-10%.

  The S&P 500 closed higher by 0.8% pushing the benchmark past its previous record high of 7,002.28, which it had notched Jan. 28. The index closed at 7,022.95.

U.S. equity markets have been on a roller coaster since the start of the year. After its January high, the S&P 500 plunged 9.8% to a low of 6,316.91 on March 30, driven by the U.S.-Israel war on Iran and the soaring price of oil.

But in the two weeks since, markets appear to have adjusted to the constant uncertainty of the war.

“As far as the stock market is concerned, the war is over until further notice,” Ed Yardeni, president of Yardeni Research, said.

“It has also been another momentum-led rebound, similar to last year’s explosive rally that started on April 9, when President Donald Trump postponed his Liberation Day tariffs,” Yardeni said.

 ====================================================================================

Iran War REminder

======================================================

IMF Warns US Treasury Market Prone To "Sudden Repricing" Due To Soaring Debt, Overreliance On Bills

The International Monetary Fund warned Wednesday that the relentless US debt issuance is undermining the premium Treasuries have commanded from investors, with implications for government securities across the globe.

“The increase in the US Treasury security supply is compressing the safety premium that US Treasuries have traditionally commanded — an erosion that pushes up borrowing costs globally,” the Washington-based IMF said in its latest Fiscal Monitor report.

The US has been selling large volumes of debt because its budget deficit has averaged roughly 6% of gross domestic product over the past three years, an unprecedented shortfall outside of wartime or recession eras. The gap is expected to stay around those levels throughout the coming decade, according to the Congressional Budget Office. In reality, it will only get wider.

 https://www.zerohedge.com/economics/imf-warns-us-treasury-market-prone-sudden-repricing-due-soaring-supply-overreliance-bills

=================================================================