The Fed has not even announced the framework of what its balance sheet "normalization" would look like, and already Boston Fed president Rosengren is talking about the next Fed QE program.
Overnight exuberance - perhaps on Trump tax comments - has been erased.
The Dow is testing recent lows (2-month lows) as VIX jumps and the USD, bond yield surge stalls.
Of course, the media would like you to ignore IBM (which accounts for 60 of the 70 down dow points).
But everything is sliding after the European close...
And Goldman keeps falling
Theoretical warnings about risks inherent in China's shadow banking system became all too for 150 customers of China's largest private bank, when Minsheng Banking Corp found itself involved in a 3 billion yuan (US$436 million) fraud case, after it emerged that a branch chief of the lender in Beijing allegedly issued false bank acceptance bills and later secured funds from individual investors to cover up the misdeed.
While the market has been generally euphoric over Trump's proposed fiscal agenda (even if in recent weeks it increasingly looks its implementation will be indefinitely delayed), one adverse side effect which has largely been ignored by the market is the impact of rising interest rates not only on sovereign debt, but on record corporate debt loads. Conveniently, this was one of the more notably topics covered in the latest Global Financial Stability report released by the IMF on Wednesday.
Following API's surprise gasoline build (and small crude draw), DOE confirmed concerns with a surprise build in gasoline inventories. Crude inventories drew down for the 2nd week in a row. WTI prices slipped though as production rose to its highest since Aug 2015.
API
DOE