PANIC WITH PANIC SAUCE

In the markets, We start the week with another chapter of “The Worst Bond Bubble Burst Since 1949”.?

This time its the US Treasury 10yr-2yr yield curve inverted to its lowest level since 2000.

UK?????

Then across the pond, the UK sovereign yield curve is also inverted. But this curve is only inverted to 2008 levels of The Great Recession. The UK 2-year sovereign yield is up over 50 basis points this morning.

US????

Then we have the US Dollar Swaps curve (green line), steeply UPWARD sloping until 6 months, then declining. The same goes for the US Treasury Actives curve (blue line), except that is it steeply upward sloping out to 1 year then begins declining.

BREAKING BIDEN STYLE ??

And then we have the Bankrate 30-year mortgage rate rising to 6.59%, up 129% since Biden was sworn-in as President.

POWELL'S MISTAKES??

Also declining since Powell unleashed his monetary Panzers on the economy and financial markets are 1) agency MBS and 2) S&P 500 index.

SITUATION

The stock market’s value is down $7.6 trillion since Biden took office.