DHUnplugged #670: Angry Markets

Markets are pissed – and they have every right to be as Powell dumps markets. Seasonal patters playing out. Could strikes be the next market breaking catalyst? Listen in to what China is doing with US Bonds – not good PLUS we are now on Spotify and Amazon Music/Podcasts! Click HERE for Show Notes and Links DHUnplugged is now streaming live - with listener chat. Click on link on the right sidebar. Love the Show? Then how about a Donation? <br /> Follow John C. Dvorak on Twitter Follow Andrew Horowitz on Twitter Warm Up<br /> - The Wait for the Fed is over - and the market is pissed<br /> - Starting t wonder if there  is another banking scare coming (rate rocketing higher)<br /> - We still selling Rosh Hashana  and Buying Yom Kippur?<br /> - Weight loss drugs worrying different market segments<br /> - Wondering - Next Catalyst for market - Unions Strike Trend?<br /> - PSA about COVID Season<br /> Market Update<br /> - 10Yr Yield approaching 4.5%<br /> - Oil taps $92 then comes in to $90<br /> - Bad week for markets - we have some stats<br /> - Cisco M&A - Splunk<br /> - Oversold reading - switched the short small-caps today Market Commentary<br /> The major indices registered sizable declines last week.<br /> - Softness in mega caps had a disproportionate influence on index performance, but there was no effort to rotate anywhere else so many stocks came along for the downside ride.<br /> -  All 11 S&P 500 sectors finished in the red last week.<br /> ----- - - - - - The consumer discretionary (-6.4%), real estate (-5.4%), and materials (-3.7%) were the top laggards while the health care sector (-1.2%) saw the slimmest loss.<br /> - The catalyst for the weakness was another big jump in Treasury yields.<br /> ----- - - - The 2-yr note yield climbed eight basis points last week to 5.12%.<br /> --- - -The 10-yr note yield climbed 12 basis points last week to 4.44%.<br /> - - - - -  -Including lastweek's move, the 10-yr note yield is up 35 basis points this month.<br /> **** Those moves were largely in response to the Fed's hawkish pause on Wednesday. Fed Update Meeting (Briefing.com)<br /> - As expected, the FOMC voted unanimously to leave the target range for the fed funds rate unchanged at 5.25-5.50%.<br /> - - - The median fed funds rate estimate for 2023 was unchanged at 5.6%<br /> - - - BUT the median estimate for 2024 was 5.1%, versus 4.6% in June. This suggests