US equity indexes mostly closed significantly lower, SPX -75pts (1.7%) at 4412. Nasdaq comp’ -2.2%. Dow -1.2%. The Transports settled +0.4%. R2K -0.7%.
sp’60min
Summary
closing hour action: choppy, but leaning weak to break a new intraday low of 4408, as s/t momentum continued to weaken.
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… and that concludes Monday, as we’re already 25% of the way through the week 🙂 Tuesday should offer the bears opportunity to gap lower on the excuse of inflation… or rather… the ‘Putin Price Hike’.
As I’ve noted on Twitter, the irony is that inflation was built into the system from 2020/21, after trillions of deficit spending, mostly funded via Print Central. It would have made little difference as to who is currently in command.
From an economic viewpoint, you could argue we’re only seeing the first wave of inflation. If employees can bargain higher wages from employers who are still struggling to fill vacancies, then inflation has to be expected to climb… if not accelerate.
… and none of this assumes ANY further problems via the global supply chain. The real concern has to be ‘availability’ of products this summer, and into the autumn.
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notable stock: T
The new ‘AT&T’, minus the Warnermedia which was merged into Discovery. Sometimes… a board really just doesn’t know what to do, and creates work for itself.
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notable bond ETF: TLT, weekly
A new multi-year low, as the US 10yr isn’t far from 3.00%.
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notable fin: COIN
I have to imagine Chanos is looking for Coinbase to decline to around $100. Fine company/service, but it IS m/t bearish.
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A fine end to the day. Have a good evening
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more later on the VIX and Indexes by 6pm EST