D&D Note (4.24.2018) ~ 3% Yield Sends DOW Down 423 Points ~
The 10YR Yield hit 3% intraday which sent a market rally into a 423 point selloff in the DOW. The yield settled at 2.998% and the markets did close off the lows of the session.
CAT also sent markets into a fuss wth the CFO saying this quarter was the high-water mark. That sent the Industrial sector lower.
Oil fell on the day pushing the Energy sector down with it.
With higher interest rates the forward earnings of growth stocks are now worth less causing the FANG stocks to selloff on the day.
Pot Stocks reversed the trend and largely finished higher on the day. Today D&D added to our newest position in MEDFF.
Crypto coins continue to surge with Bitcoin trading $9,445.00 and Ethereum trading $709.50.
Eventually we should see the Financial sector perform better as yields on Government bonds continue to rise.
Mortgage rates are rising and will soon see 4%.
The recent price action in the markets is causing investors to ponder if we have hit peak earnings. The bulls are looking for a catalyst to push markets higher but none are being found. One aspect that could drive markets higher would be a potential deal on NAFTA.
D&D movers:
– IMLFF up 1.48%
– MEDFF up 0.81%
– TWMJF up 0.41%
– APHQF up 0.25%
– GOOG down -4.45%
– ITW down -4.44%
– MU down -3.90%
– AMZN down -3.81%
Indexes
– DOW down -1.73% (-423.30 points)
– NASDAQ down -1.70%
– S&P down -1.34%
Sector Movers:
– Telecom up 1.17%
– Utilities up 0.65%
– Real Estate up 0.14%
– Industrials down -2.82%
– Materials down -2.70%
– Technology down -1.98%
Notes
– US 2-YR 2.475% (up 0.001)
– US 10-YR 2.998% (up 0.025)
– US 30-YR 3.178% (up 0.035)
Volatility
– VIX 18.79 (up 14.99%)
Crypto (1:00 PST)
– BTC $9,445.00
– ETH $709.50
– BCH $1,473.60
– LTC $165.00
Metals
– Gold $1,333.30 up 0.70%
– Silver $16.715 up 0.77%
– Copper $3.134 up 0.76%
Energy
– Oil $67.79 down -1.24%
– Brent $73.93 down -1.04%
– Nat Gas $2.785 up 1.64%
D&D Investments 
Discussion
No comments yet.