By Chris Becker
The poor showing in Asia did not translate into further falls in Europe, but the slump in Tesla stock and other techs pulled Wall Street down last night, slightly moving the risk edifice into correction territory. The USD launched into new heights against the majors and slamming gold while the huge auctions in Treasuries this week have not yet affected yields, which continue to moderate down into the mid 2.7% for the 10 years.
Recapping stocks in Asia yesterday where the Shanghai Composite closed 1.4% lower to 3122 points, in a broad selloff as expected, threatening key support just below. This slump was to be expected and all eyes are now on critical support at the 3100 level, where a rebound must happen soon as in early February or the floor will be pulled out quickly:
