Afternoon update /Thoughts

“Risk” not in panic Mode just a slow and steady bleed lower,Possibly tracking the decent of the 2s10 spread further into inversion

3 minute chart of 2s10

I haven’t seen one headline or tweet to cause the shift in Sentiment the Experts on twitter Hinting that the rebalancing into stocks yesterday has run its course and thus the prevailing trend is back. More then one source out of China

Hu Xijin 胡锡进@HuXijin_GT·Aug 26Based on what I know, Chinese and US top negotiators didn’t hold phone talks in recent days. The two sides have been keeping contact at technical level, it doesn’t have significance that President Trump suggested. China didn’t change its position. China won’t cave to US pressure.

commenting that they were not aware of any type of phone calls between U.S. and China so possibly US markets realizing this as well.Trump quiet most of day possibly jet leg from G7 trip but he is back now bashing the Fed saying they have”called it wrong for too long” and Fed policy “benefits other parts of the World”.

Former New York Fed president Dudley out with op-Ed basically saying the Fed should get political and not lower rates to help Trump win reelection,even though Economy may need them.No way Trump lets this slip by without a comment,nor should he.

Silver trading at 2 year high + 3% today,Gold +1%

Risk On-Off metric indicates yesterday was just a blip as trend continue to show Risk-off

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