US Stocks & Bonds Are Getting Monkeyhammered…

Well with Labor Day a distant memory, US markets are waking up to European pain and dumping any overnight gains in a hurry…

Nasdaq is now down 1.3% from Friday’s close, after being up over 1% in the pre-market…

Bonds are also being clubbed like baby seals (5Y yields are up 15bps)….

Notably rate-cut expectations for next year are plummeting…

Stocks still have more room to catch down to STIRs reality…

And the dollar is continuing to strengthen (consistently bid during the EU session)…

Is the market starting to realize Powell’s not kidding about ‘pain’?