Gotta Wear Shades Market

Tepper came out on CNBC to say everything is rosy again at 1940, after he was nervous when the S&P was trading at 1870.  I wonder if he is trying to be like Bill Gross, saying one thing on TV and ordering his traders to do the exact opposite.  For what seems like forever, we got a little bit of euphoria in the air yesterday.  It is about time.  I figured the crowd would get more bullish, more quickly, but this is one skeptical crowd.  They are "too smart" to be bullish.  They are mostly intellectual bears, thinking they have the market outsmarted, when they have been completely wrong.

Now those intellectual bears point to the ECB package, and are singing a bullish tune.  Right on script!

I am now getting a little bit bearish.  Yesterday on CNBC Fast Money, the commentators oozed bullishness, the talk was rosy, like there is nothing wrong, "it's so bright, gotta wear shades" now.  I haven't heard this in a LONG time.  The last time was in late December, after the Fed's first taper, and the market rallied anyway.

That being said, It is hard to short this market.  Very hard.  I have avoided the short side pretty much all year.  If I have to short anything, it would be China, and then Japan.  But it looks better and less stressful just to have a bearish equity view by going long Treasuries.  Unfortunately, Treasuries have rallied the last two days and it's not quite at a level where I want to buy.

I am in no rush to do anything here, it's looking like a slow day.  Market still feels like it wants to grind higher for a few more days.  VIX futures is 12.30, I haven't seen them this low ever.  Really.  Volatility is dead.