By Tyler Durden
It was generally a quiet day, with no macro news and equities range-bound, seemingly spooked by the ongoing verbal war between Trump and Jeff Bezos, where first in a tweet then a White House press conference, the president warned that US taxpayers will no longer subsidize Amazon “by the billions.” And, as has been the case recently, every time Trump spoke or tweeted, Amazon turned negative.
And then, just around 2:45pm, a Bloomberg headline, according to which President Trump is not formally looking at options to address his concerns with Amazon, unleashed a buying panic first in Amazon and then across the broader market:
*NO ONGOING WHITE HOUSE TALKS ABOUT ACTION ON AMAZON: SOURCES
As Bloomberg clarified, despite the constant Trump jawboning, inside the White House, there have been no discussions about turning the power of the federal government against the company. Bloomberg’s five sources said that they were not aware of any ongoing discussion about turning Trump’s tweets into action against Amazon, not on the legal or regulatory fronts, or even regarding the U.S. Postal Service.
This was enough for the headline scanning algos, and as shown in the chart below, the Bloomberg story sparked a furious buying spree that …read more