Stocks, Bonds, Dollar Dumped On Worst FANGover In 30 Months

Commission-takers and asset-gatherers desperate to reassure their clients that a 15-20% collapse in their favorite stocks in 3 days is "just a fleshwound"...

 

China stocks closed lower overnight, with CHINEXT (China Tech-heavy index) leading the slide...

CHINEXT is back near its lowest since Jan 2015...

European stocks were lower, led by DAX once again...

All major US equity indices red for the day with Nasdaq worst...

 

For the month of July, all major indices remain green but Small Caps and Nasdaq are laggards...

 

Digging down below the index headlines, things are very mixed all of a sudden.

FANG stocks are down around 9% (cap-weighted) in the last three days, that is the worst rate of decline since February 2016...

FANG Stocks are down $220 billion in 3 days - the biggest market cap loss in history...

 

Since NFLX broke the damn a week ago, things have gone a little bit turbo...

 

TWTR has collapsed...

 

TSLA is tumbling...

 

But as Tech tumbles, banks are bid...

 

Value stocks soared relative to growth in the last few days - erasing all of June and July's performance...

As Morgan Stanley noted - The bottom line for us is that we think the selling has just begun and this correction will be biggest since the one we experienced in February. However, it could very well have a greater negative impact on the average portfolio if it's centered on Tech, Consumer Discretionary and small caps, as we expect.  

 

Global Bonds are on the verge of breaking out... or reversing...

 

As everyone reacts to The BoJ last week (and prepare for tonight)...

 

Treasury yields rose on the day (though 2Y ended unch...)

 

Steepening the yield curve to 4-day steeps...

 

However, 10Y remains below the 3.00% Maginot Line...

 

The Dollar fell back to strong support levels...

 

Offshore Yuan was relatively stable for once with overnight weakness bid back as US markets slumped...

 

Cryptos are down from Friday's close but had a chaotic day today...

 

Crude managed gains on the day as the dollar weakened but PMs and copper were practically unch...

 

Comments

D.r. Funk Mon, 07/30/2018 - 16:04 Permalink

I'LL GIVE THEM THIS:

Rising trendline is actually present. See if they program a 2750 spy index hold or rebound-pivot. You fedfucks your tech-naz manipulated surging has been glaringly clownlike. Can't go up forever and you know it. See my finger
 

Watcher2112 Mon, 07/30/2018 - 16:09 Permalink

One day soon, after hours the market will make a huge correction down. Most will not be able to get out and those Puts you are holding will not be honored as they were sold to you naked..........

tahoebumsmith Mon, 07/30/2018 - 16:14 Permalink

The Wealth Effect Shit Show Ponzi is the only thing they got left to keep the engine running and it’s capitualating now that every American is totally tapped.

Consuelo Mon, 07/30/2018 - 16:38 Permalink

It is both a long ways and a short trip to November.   

If this isn't the Big One, then best to flush it now for a ramp going into autumn.

Pernicious Gol… Mon, 07/30/2018 - 16:44 Permalink

Commission-takers and asset-gatherers...

If they were paid on commission and truly worth their salt, they would talk their clients into panic selling, then panic buying when the dip turns around.

GotGalt Mon, 07/30/2018 - 17:16 Permalink

SNB balance sheet taking a bit of a hit all of a sudden.  Time to create a trillion more fake Francs and sub them for $US and BUY ALL THE THINGS!!!

Mike Rotsch Mon, 07/30/2018 - 17:25 Permalink

STOP SHORTING THE SMALL CAPS!  

It doesn't give you any sort of "advantage" over bulls.  It doesn't make you "more intelligent".  Most of you would easily double your profits by going long.  You are breaking the market.  Knock it off.

BankSurfyMan Mon, 07/30/2018 - 19:50 Permalink

All those Dollar weak contributions and pension payments to a plan that has no top! Buy, because the FED is easing! Now selll! The FED is tightening, and run like hell! Bubbles never pop! Doom 2019! nexT!

Fufi007 Mon, 07/30/2018 - 21:52 Permalink

Retail is buying while Institutional is selling. Anemic buying volume on Dow for the last few months. Institution selling occurred from late February through June. Dow is now in a consolidation pattern can't break. Ran into exhaustion since April's last year. 10% or more correction is in.