Business

As goes US manufacturing, so goes US services. In a narrative-crushing print, US Services PMI dropped to 54.3 - the lowest since January 2015. Output and New business growth slumped to 11-month lows, optimism dropped, and input cost inflation continued to moderate as "suggests the pace of hiring has slowed since earlier in the year as businesses have become more cautious." Then, confirming  this plunge, ISM Services printed 55.3 - its lowest since March 2014 as unadjusted new orders collapsed to their lowest since February 2014.

But, but, but... it's not a market-driven only by The Fed, right?

All major US equity indices (except Nasdaq and its FANTAsy stocks) are now deep in the red since The Fed stopped QE3...

Since the start of December stock have been dumped...

But FANTAsy stocks are collapsing so far in 2016...

As once again, the S&P 500 catches down to The Fed's balance sheet...

But it's the fundamentals right?

Apple's shares broke below $100 in pre-market trading as analyst downgrades and further component producer outlook reductions weighed heavily on the "no brainer." It appears increasingly likely that Tim Cook's "rescue" email to Cramer on August was perhaps not the entire truth.. and the market is trading back to levels it first crossed in August 2014 (i.e.

Less than a month ago, and just days after the Yuan was finally inducted into the IMF's hall of reserve currency fame, the Chinese Foreign Exchange Trade System, a part of the PBOC, made it very clear that what was about to happen would not be pretty, when it announced - in a statement which clearly everyone ignored - that going forward it would index the relative strength of the CNY not to the USD but the a basket of currencies (against which the USD to which it is pegged has been soaring).

The FANGs are beginning to break down.

FANG is an acronym that stands for Facebook, Amazon, Netflix, Google.

These are four of the top performing stocks of 2015. Netflix was the top stock for the S&P 500 returning 134% in 2015. Amazon was #2, returning 118%.  Google returned 44% and Facebook returned 34%.

In very simple terms, these are the big market leaders. And now all of them are beginning to break down.

Facebook (FB) is testing critical support. Below this the long-term bull market trendline at sub-100.