The overnight exuberance in US equity futures is extending for The Dow, but most notably - Nasdaq now back underwater from before ABC's fake news Flynn story on Friday...

 

Across asset classes - the unwind of Friday's panic moves is complete, but the rotation out of tech is clear...

 

Semis are getting slammed...

 

FANG Stocks are below Friday's lows...

 

As investors rotate to high tax corporations...

We suspect hedge funds are starting to panic for two reasons:

1) They are the most levered ever...

 

and 2) The tech stocks that are currently being slammed are major holdings for most funds...

 

The Dow has outperformed Nasdaq for six straight days...

 

This is the biggest relative outperformance of The Dow vs Nasdaq since feb 2016...