Monday's Market Selloff Is Indicates A New State Of Concern About The US Economy


Stocks continue to fall.

The ugly market action of the last couple of weeks seems to be continuing.

But dig beneath the surface, and you see that things actually look a little different from what they did over the last several days.

First of all, U.S. Treasury rates are actually a little bit higher, breaking the trend of lower stocks and lower ates.

Spain is rallying.

The Euro is higher too!

All of this is different, and it tells a different story.

The U.S. economy is in the eye of the storm now.

Whereas previously the line of argument was: Everything was fine, if only Europe weren’t imploding, the new line of argument is: Oh crap, the U.S. economy is getting sick, too.

The increase in U.S. Treasury yields is a big tell that the panic-buying from the Europe collapse fears have subsided a little bit.

And so between last week’s bad jobs report and today’s factory orders report, and today’s murmurs about a Master Plan in Europe, we’ve seen a total swap in the conventional wisdom.

Unfortunately the new meme, just like the old meme, means lower stocks.

SEE ALSO: Markets are starting to think that German will bail out Spain >

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