The market sits in limbo waiting for direction from the Fed.
As markets await higher rates from the Fed, investors worry that equities and bonds may look extremely expensive relative to new rates.
- Financials continue inside 1-month range, waiting for a better interest rate spread.
- Key economists and investors warn that sudden changes could spark chaos in assets.
- Stand-off between bulls and bears reaching "fever pitch" as bonds lose footing.
"Bonds down, stocks down" was heard from traders around the globe last week. Analysts look to financials for solace.
The S&P: It's All Relative
The S&P 500 has waffled between strong and weak lately, and weak hands have paid the price.
Short-term traders are getting caught selling into the hole, and bulls haven't found a footing either.