Posted on 01/30/2018 7:03:47 AM PST by Enlightened1
"We've had a unilateral move higher [in stocks] to start things off and people are realizing this is not sustainable," one strategist said.
The Dow and S&P 500 posted their worst session of the year on Monday.
Long-dated Treasury yields climbed further on Tuesday, with the U.S. 10-year Treasury yield trading near levels not seen since 2014, amid fears of higher
The S&P 500 pulled back 0.9 percent, with health care as the worst-performing sector. The Nasdaq composite fell 1 percent.
"We've had a unilateral move higher [in stocks] to start things off and people are realizing this is not sustainable," said Art Hogan, chief market strategist at B. Riley FBR. "You're also seeing some cracks in the global story with interest rates rising."
The Dow Jones industrial average fell 177 points on Monday, on the back of a rise in the 10-year treasury yield, raising concerns that higher interest rates could douse the bull market. The Dow, along with the S&P 500, posted its worst decline of the year on Monday.
Long-dated Treasury yields climbed further on Tuesday, with the U.S. 10-year Treasury yield trading near levels not seen since 2014, amid fears of higher inflation. The benchmark yield started the year trading around 2.4 percent.
Higher inflation could also lead central banks to tighten monetary policy faster than the market expects. Last week, Stifel strategist Barry Bannister predicted the Federal Reserve will cause a correction this quarter as it leads other central banks into tighter monetary policy.
The Fed kicked off its latest two-day monetary policy meeting on Tuesday. Market expectations for a rate hike are just 5.2 percent, according to the CME Group's FedWatch tool.
(Excerpt) Read more at cnbc.com ...
I guess the Globalists know President Trump is about to drop the hammer, and they are trying to embarrass him before the State of the Union?
Democrats are having orgasms all over the place. “This is it! Just what we’ve been dreaming for!”
Yes, it’s about SOTU. Full moon tonight, by the way....
Must be the new narrative predicted by Q.
Sorry for not being up to speed, but who is Q?
Normal sell off and profit taking.
A lot of people made some big money over the last few months and want to get some cash.
It will sit like that a few days, then they will start moving that cash into other stocks which will cause another bull market.
I agree, just a normal market correction.
My thought too
Well, there is nothing really backing this current rise in the markets other than faith. And even then, eventually the greater fool theory spanks people still holding.
It’s profit taking and tax season. It will go back up soon.
Someone who claims to have inside information on the goings on of the Deep State and posts enigmatic stuff I would not even try to interpret. Sometimes straight out, but anyone could have predicted an attempt to change the narrative over release of the memo.
It goes up, it goes down. That is the only certainty about the stock market index.
There is no ratchet. Hanging on to every movement of the index and letting one’s emotions depend on it, is stupid.
300 points used to be a lot. When the market’s at 26,000 it’s lunch money.
But it would take clout to readjust the Stock Market.
profit taking more likely.
CNBC is a heavily slanted against good news unless a democrat is president.
FBC pointed out how much the market has increased since January 1.
Also much of this drop is the weak panicking over amazon and warren buffet teaming up.
No, this is NOT “Central Bank Manipulation”.
This is normal jitters after a long, strong run, in the face of critical earnings releases, and political uncertainty, and rising interest rates.
Please step away from the tin-foil....
“...It will sit like that a few days, then they will start moving that cash into other stocks which will cause another bull market....”
Agreed. Normal pull-back, expected and needed.
The only people that get hurt on a “roller coaster” is those that go into panic and jump off.
I tend to ride these out on most of my investments. If I have a pretty good run up on what I consider a “short term” stock, I’ll sell it. But generally, I just go with the flow for the long-term.
I wouldn’t bet the farm on your premise. There are always corrections, consolidations and then a return to the higher levels. Sitting on the sidelines there is the bite of inflation and the difficulty of timing getting in & getting out.
I actually only have money in my TSP, which I have put into conservative and medium risk pools.
I have not looked at it in a few months, so I really do not know what my current portfolio is standing at.
I really am too busy to do it.
What’s causing the jitters?
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