The market has its story straight. The world is reflating, led by commodity exporters; equities are still in a “sweet spot” of low rates; and the concern for the future is inflation, not deflation.

That at least reconciles the events of the past few days. After poor US economic data, US stocks touched their 50-day moving average – formed by the average of closing prices over the previous 50 days – then bounced upwards. Traders took this as evidence that the upward trend was intact.