Are Treasury yields sniffing out a Fed mistake?: At the Open

seekingalpha2021-07-08

The Treasury yield curve continues to flatten this morning and that's bringing some selling in equities ascracks in the consensus of strong economic growth start to show. The 10-year yield is down 4 ...

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Comments

Jenjorjack
2021-07-09
Jenjorjack
Hope the selling can perist to a reasonable correction. Makes allocation a bit easier. Please like and comment thanks
ToongMH
2021-07-09
ToongMH
Good to read
JCai
2021-07-09
JCai
Like pls
NgKenny
2021-07-09
NgKenny
Good
- ppyy:
  ok
TheIronCarro
2021-07-09
TheIronCarro
No
Gackky
2021-07-09
Gackky
and low stonks prices good for whales to profit

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By July the Fed was back to cutting rates.\"\n\n\nThe problem with the Fed mistake theory is that equity markets are holding up fine, DataTrek says.\n\"Maybe that’s because Q2 earnings season should be excellent, and investors feel they can be patient,\" they say. \"Or maybe it’s just the seasonal volatility factors ... which favor lower vol (and stable stock prices) during the first part of July.\"\nFurther complicating matters is the employment situation, according to Avalon Advisors Chief Economist Samuel Rines.\nThe ISM services employment index \"fell off a cliff to the point of indicating employees were being shed not added,\" Rines notes.\n\n\n\n\"The employment picture painted from the ISM surveys is difficult to square with a booming economy,\" he writes. \"There is increasing uncertainty in the outlook for employment, and therefore Fed policy.\"\n\"With the escalating uncertainty around the employment picture, there should be an increase in fear of a Fed policy error. If the Fed becomes increasingly concerned about inflation, it could tighten policy early. Tightening policy before the labor market healed properly would certainly tame inflation pressures. But it would likely do so at the cost of employment.\"\nFor its part, DataTrek leans more to the explanation for the drop in yields of a modest growth scare that's obscured by the S&P 500 due to its Big Tech overweight.\nBut they see evidence in: dollar index(USDOLLAR)up 3.2% since June 1, MSCI Emerging Markets(NYSEARCA:EEM)down 4.1% since June, Russell 2000(NYSEARCA:IWM)down 0.5% since June 1, German bund yields at -0.3% vs. -0.11% in mid-May and Japanese 10-year at 0.04% vs. 0.09% at end of May.","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[{"id":143491346,"gmtCreate":1625806783485,"gmtModify":1703748964209,"author":{"id":"3554873215379647","authorId":"3554873215379647","name":"Jenjorjack","avatar":"https://static.tigerbbs.com/d9d4687aa5519f0d2fb1b18f916be861","vip":1,"hat":"https://static.tigerbbs.com/f84d87792f02cf78e80ee34979fd31e5","crmLevel":6,"crmLevelSwitch":1,"idStr":"3554873215379647","authorIdStr":"3554873215379647"},"htmlText":"Hope the selling can perist to a reasonable correction. Makes allocation a bit easier. Please like and comment thanks","listText":"Hope the selling can perist to a reasonable correction. Makes allocation a bit easier. Please like and comment thanks","text":"Hope the selling can perist to a reasonable correction. Makes allocation a bit easier. Please like and comment thanks","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":0,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/143491346","repostId":1190124335,"repostType":4,"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":143851451,"gmtCreate":1625788949173,"gmtModify":1703748467958,"author":{"id":"3579230468032082","authorId":"3579230468032082","name":"ToongMH","avatar":"https://static.laohu8.com/default-avatar.jpg","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3579230468032082","authorIdStr":"3579230468032082"},"htmlText":"Good to read","listText":"Good to read","text":"Good to read","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":4,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/143851451","repostId":1190124335,"repostType":4,"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":143869576,"gmtCreate":1625787973095,"gmtModify":1703748435711,"author":{"id":"3574897713454581","authorId":"3574897713454581","name":"JCai","avatar":"https://static.tigerbbs.com/a4408059854d4abfa5d3e8513d447a16","vip":1,"crmLevel":6,"crmLevelSwitch":0,"idStr":"3574897713454581","authorIdStr":"3574897713454581"},"htmlText":"Like pls","listText":"Like pls","text":"Like pls","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":4,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/143869576","repostId":1190124335,"repostType":4,"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":143804758,"gmtCreate":1625786245274,"gmtModify":1703748371370,"author":{"id":"3582778356971864","authorId":"3582778356971864","name":"NgKenny","avatar":"https://static.tigerbbs.com/4fdae3e0bdca8d3a33e7f9d619f0dc88","vip":1,"hat":"https://static.tigerbbs.com/b073a07f77dbe6b3bec6b12311fde6bd","crmLevel":2,"crmLevelSwitch":1,"idStr":"3582778356971864","authorIdStr":"3582778356971864"},"htmlText":"Good","listText":"Good","text":"Good","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":3,"commentSize":1,"repostSize":0,"link":"https://ttm.financial/post/143804758","repostId":1190124335,"repostType":4,"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"comments":[{"id":5165637,"gmtCreate":1625786599884,"gmtModify":1663230731037,"authorId":3553039767902975,"author":{"id":3553039767902975,"idStr":"3553039767902975","authorId":3553039767902975,"name":"ppyy","avatar":"https://static.laohu8.com/default-avatar.jpg","vip":1,"crmLevel":3,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":143804758,"type":1,"supId":0,"prevId":0,"content":"<u>ok</u>","text":"<u>ok</u>","html":"<u>ok</u>"}],"langContent":"EN"},{"id":143170425,"gmtCreate":1625785504767,"gmtModify":1703748343468,"author":{"id":"3582188405911593","authorId":"3582188405911593","name":"TheIronCarro","avatar":"https://static.laohu8.com/default-avatar.jpg","vip":1,"hat":"https://static.tigerbbs.com/b073a07f77dbe6b3bec6b12311fde6bd","crmLevel":4,"crmLevelSwitch":1,"idStr":"3582188405911593","authorIdStr":"3582188405911593"},"htmlText":"No","listText":"No","text":"No","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":5,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/143170425","repostId":1190124335,"repostType":4,"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":143145731,"gmtCreate":1625785351923,"gmtModify":1703748340552,"author":{"id":"3574326723774097","authorId":"3574326723774097","name":"Gackky","avatar":"https://static.tigerbbs.com/5898b44bf5a31bf2b9d4e37227ed8177","vip":1,"crmLevel":3,"crmLevelSwitch":0,"idStr":"3574326723774097","authorIdStr":"3574326723774097"},"htmlText":"and low stonks prices good for whales to profit","listText":"and low stonks prices good for whales to profit","text":"and low stonks prices good for whales to profit","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":5,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/143145731","repostId":1190124335,"repostType":4,"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"}],"isCommentEnd":false,"newsSizeData":{"likeSize":281,"commentSize":22,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; 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