"So far, this all sounds a bit like a storm in a teacup. This is because many of the other signs of stress which have traditionally accompanied LIBOR-OIS widening have so far been absent. But we think this is about to change..."
"Here is the bottom line: If this correlation turns negative so that both stock and bond prices decline, Risk Parity portfolios will be modified to reflect these new correlations and volatilities. In simple terms, they will sell."
Facebook has agreed to brief House Judiciary Committee members as soon as Wednesday on the use of personal data of millions of users, in a step that can potentially open a Pandora's Box for the company as virtually all of its clients use and abuse some of the alleged practices to some extent.
Amid the biggest two-day demise in Mark Zuckerberg's social network in six years, slashing below its 200-day moving-average, many are wondering where the dip-buyers have gone... and who the biggest losers are, so far!
"It took an overwhelming amount of negative news to finally get markets to realize that the real world does, quite properly, if only occasionally, encroach upon the sanctity of the halls of trickle-down economics."
Following yesterday's collapse, one might have expected a bip-buyer's bounce, but thanks to headlines from Bloomberg revealing the FTC is said to be probing Facebook for use of personal data, Facebook shares are tumbling once again in the pre-market...