by Keith Weiner
It has come to my attention that, perhaps, the great stock bull market is done. To most people, a bull market is good, and its end is bad. After all, a rising market signifies a healthy economy. Investors are making money. And it seems to prove that the free market is validated, able to deliver miracles despite Obamacare. Share prices are connected to business productivity, aren’t they?
10Y Treasury Yields are plunging back below 2.00% (lowest in 3 months), WTI crude front-month (March) has just tumbled to a $28 handle, and Dow futures are now down over 500 points from this morning's exuberant stimulus hope highs...
Crude has collaped back below $29...
Stocks are in free-fall...
And 30Y bonds are soaring (10Y yield below 2.00%)
What's wrong with this picture?
With all major US equity indices in correction post-rate-hike...
From BofA's Michael Contopoulos
You don’t need a recession
If ever there was any doubts about the narrative of freedom-seeking China capital outflows driving the irrationally exuberant prices of homes in some of the world's largest cities to record highs, the following two charts will extinguish them entirely.
Traders who may have napped through the earlier oil slide below $28 finally woke up just in time for the China open to find that while there was little excitement on the currency front following a Yuan fixing, which at 6.5578 was practially unchanged from yesterday's midpoint of 6.5596...
...the Shanghai composite - following yesterday's torrid, manipulated last hour surge - opened 0.5% lower, sliding back below the 3,000 level which was breached last week for the first time since last summer.