Post #16022

Equities Need To Overcome Bearish Technicals To piggy back on the yields story, Nasdaq is losing momentum, trading below the 200-day MA and now starting to give way at the 24,000 support level. If this breaks cleanly, downside opens up fast. As yields push higher, markets are pricing higher-for-longer rates, which is a headwind for tech and growth. Higher discount rates = lower valuations, simple as that. At the same time, failed negotiations and mixed signals around the Middle East are keeping oil elevated, feeding inflation expectations and keeping pressure on yields. That combination is what’s weighing on equities. As long as yields stay elevated and headlines show no real progress, Nasdaq remains vulnerable. If yields keep pushing higher, expect further do - Alan