ADP Reaction - Bonds & Bullion Surge As Dead-Cat-Bounce Stock Bulls Purge

Tyler Durden's picture

Precious metals had begun to jump higher before the ADP data hit but once it did - and disappointed - gold and silver spiked (over $1,270 and $20 respectively). Equity markets kneejerk reaction was a spike higher which immediately faded into a crash to recent lows. Dow futures are testing 2014 lows - as are S&P 500 futures. 10Y Treasury yields touched 2.60%; Nikkei futures are once again testing 14,000 as USDJPY breaks below 101.

JPY is in charge as usual - and USDJPY broke 101 again...


But the reaction is clear...

 

Dow futures are testing 2014 lows...

 

Once again - as a gentle reminder - here is a chart showing how crucial this surprise in ADP is to Friday's NFP surprise...

 

 

 

Charts: Bloomberg and @Not_Jim_Cramer