Oil, Copper Surge Ahead; The Squeeze is On

Both copper and oil are up more than 3%. This is exactly what the market needed to cause a short squeeze, on this Friday afternoon.

Shares of FCX are going absolutely bananas, following the move higher in crude/copper, coupled with their asset sale. This is the single best barometer of risk in this market. This stock, alongside many other commodity related shares, have been on fire for the better part of 3 weeks now.

The S&P is pushing +10% since the bottom. Naturally, there is going to be a need to rest these gains and observe the wall of worry. Right now, there is a lot of energy being spent on annihilating short sellers. Stocks with big short positions are, by far, outstripping those with small bets against them.

Gold is doing well, thanks to a weakening dollar. And bonds are selling off aggressively, which indicates a thaw in the market, as institutions who fled for the safety of government reallocate back into stocks.