Gregory Mannarino, "Post Market Wrap Up 5/30/19:
A Love Roller Coaster, With Beautiful Letters, And A Song!"
MarketWatch Market Summary
CNN Market Data:
CNN Fear And Greed Index:
"Market Insight: Investors Are Growing Worried"
By Joe Withrow, Head of Research, Bonner & Partners
"Interest rates are in free-fall… That’s the story of today’s chart, which tracks the 10-Year Treasury rate from the start of 2017 through today.
After hitting an 8.5-year high of 3.2% last November, the 10-Year Treasury rate has plummeted to just over 2.2%. As you can see, that’s its lowest level since September 2017. This move has been driven by flight-to-safety investing. Investors hoping to protect their capital have poured into Treasury bonds.
Remember, interest rates move in the opposite direction of bond prices. When investors flock to Treasury bonds, it drives prices up… and interest rates down. This tells us that investors are growing worried. And it’s easy to see why.
After falling roughly 20% from September 20 to December 24 last year, the S&P 500 has been volatile again this month. Could another 20%-plus drop be on the way? And looking at the Dow… as Bill wrote yesterday, it has had five straight weeks of losses. That hasn’t happened in eight years. And several key economic indicators are not as rosy as the talking heads on TV would have you believe.
So, we can’t help but notice… it’s starting to look more and more like 2008 out there. That’s why the tattered Crash Flag flies proudly once again…"