S&P

The machines are patting each other on the back this morning. After crushing VIX into the close, to get the S&P back to even - proving that North Korea is a storm in a teacup - stuff is hitting the fan again overnight as Asian anxiety spreads into US markets with VIX spiking above 13 for the first time in over a month and yesterday's dead cat bounce in stocks eviscerated...

Another dead cat bounce just died...

VIX is exploding... Will Gundlach be right in his forecast for a 20 VIX?

And stocks are testing yesterday's lows...

European and Asian market and S&P futures have resumed their slide, as geopolitical tensions between North Korea and the U.S. spiked again overnight after Pyongyang responded to the latest set of warnings by Trump, revealing a plan to fire 4 ballistic missiles at Guam by mid-August. Gold gains for a third day while Brent rose above $53.

Now that the possibility of a war between the US and North Korea seems just one harshly worded tweet away, and the window of opportunity for a diplomatic solution, as well as for the US stopping Kim Jong-Un from obtaining a nuclear-armed ICBM closing fast, analysts have started to analyze President Trump’s military options, what a war between the US and North Korea would look like, and what the global economic consequences would be.

One day after DoubleLine chief Jeff Gundlach told Bloomberg TV that it is time for investors to head for the exits as his highest conviction trade is "volatility is about to go up", and that he is reducing his positions in junk bonds, EM debt and other lower-quality investments on fears investor sentiment may roll over (explaining later to CNBC that he expects to make no less than 400% on his S&P puts) today two other money-managing titans - T.Rowe Price and Pimco - both issued similar warnings to investors, urging investors to start taking profits.

Buy The Fucking Fire And Fury (BTFFF)