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Editor's Note: Below is a brief excerpt and chart from today's Early Look written by Hedgeye CEO Keith McCullough. Click here to learn more about the Early Look.

CHART OF THE DAY: Quad4 → A Strong Dollar Story - z2

On the heels of a critical “catalyst” day for those begging for more central-market-planning #cowbell, the stock market reaction to Mario Draghi’s latest ideas on devaluing The Euro and extending negative rate policy… was negative.

Yep, it was a Quad 4 Day, indeed. As a back-tested reminder on what happens in Quad 4 from a USD vs. US Equity market perspective: 

A) The US Dollar has its highest expected value in Quad 4 (see Chart of The Day)
B) Inflation Expectations (priced in Dollars) fall
C) High Beta Equity Exposures expecting perpetual “asset price reflation” deflate 

CHART OF THE DAY: Quad4 → A Strong Dollar Story - CoD  USD Quad 4