Stormy
Day.
Global markets sold off overnight after the ECB caught markets offside with a hawkish hike. Bond yields are pushing higher. Money is rotating out of growth stocks and into banks. Expect a wide, fast day with rates driving the tape.
Risk off, rates panic.
Global yields jumped overnight after the ECB surprised with a hawkish hike. Money is leaving long-duration growth and reaching for rate-sensitive cyclicals plus defensives. The rotation is broad, fast, and well-confirmed.
Rotation is consistent across rate-sensitive and defensive sectors. Volume confirms.
Heavy weather, fast tape.
Markets enter the day under heavy pressure after a sharp overnight sell-off. Expect wider ranges, faster reversals, and a sensitive reaction to any news that hits the tape.
Pressure events
ahead.
-
0h ALREADY MOVING
Asia sold off
Major indices closed down 2–3% overnight. Risk-off sentiment is spilling into Europe.
-
2h TODAY · 8:30 ET
CPI Release
Core inflation reading at 8:30 AM ET. A hot print extends the sell-off; a soft one would relieve pressure.
-
1d WED · 10:00
Powell Speech
Markets will look for any indication of policy support after the overnight tape.
Rates panic
hit overnight.
"Markets sold off hard overnight as bond yields pushed higher on inflation fears. Tech is getting compressed by rates; banks are getting bid as the curve steepens. Expect more volatility through the day."