Dow Slides while the SP500 has some bad Breadth!


FYI - The ANDIKA BULLETin will be back next Tuesday 11 JUN 2024 (Monday 10 JUN is Kings Birthday and the ASX will be closed)

After a promising start to the overnight session, which saw both Asia and Europe perk up to start the new month alongside a furious surge in GameStop on the latest meme stonk shenanigans by Roaring Kitty, the mood deteriorated rapidly, and after a very ugly, and quite stagflationary ISM print, which printed below the lowest estimate (and just as ugly Construction Spending print to boot), the hard landing trade re-emerged, and "bad news was once again bad news!"

Meanwhile, the S&P500 has bad breadth!

Source: Bloomberg

and could the Dow be the harbinger for another Tech Sell off???

Source: Bloomberg

This week’s jobs report represents the next big test for the US. The jobs report comes ahead of next week's Federal Reserve meeting, with the swaps market showing no signs of interest rate cuts anytime soon. There are 1.65 cuts priced in by the end of the year, with the first possible in November. 

And I feel the RBA is also in no hurry to cut rates here in Australia.

Happy Tuesday!

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