Nasdaq 100 dropped 1.9%, now down 11% from Jul high, so Big Tech now in correction territory
It looks like some P/E air is being let out of the Magnificent 7 bubble... Source: HolgerZ, Bloomberg
We have not seen NASDAQ move lower with $BTC exploding to the upside in a long time
Source: TME, Refinitiv
China’s Nasdaq-Style Index falls to record low:
Star 50 index, which tracks manufacturers, chipmakers & biggest comps on Star Board, falls to lowest since its inception >3yrs ago as investors’ confidence wanes. Set for 6 straight mths of decline. Source: HolgerZ, Bloomberg
The relative Nasdaq 100 bull does not care about no rates moving higher...
Source: TME, Goldman Sachs
The KBW Bank Index is underperforming the S&P 500 by 37% year-to-date, on pace for the widest annual gap on record
(note: data via Dow Jones going back to 1993). Source: Charlie Bilello
BREAKING: 30-Year Treasury Yield hits 5% for the first time in 16 years while the 10-year hits 4.8%
Macro fundamentals and inflation fears are not the only culprit. Indeed, the slide in Treasuries now seems excessive given recent economic data and Federal Reserve policy. This could suggest it’s instead being driven by fears over the swelling US deficit. As show on teh chart below (Bloomber), the supply/demand balance context is clearly not favroable to US Treasuries. The recent move shows rising alarm at what fiscal policymakers are doing. Concerns over U.S. debt levels and large Treasury issuance have prompted investors to demand more compensation for the risk of holding long term bonds, driving long-term yields higher. Source: Bloomberg
The gap between NASDAQ and the US 10 year (inv) remains absolutely massive
Source: TME
To put things into perspective: Nasdaq 100 now down ~9% from high, largely in the ‘zone’ of recent NDX drawdown episodes over the last 1 year
Source: Bloomberg, HolgerZ
