Interesting indications

Today s certainly seemingly slow, but often our best insights in to the market are in fleeting glimpses.

 Rates are selling off hard, the market usually is attracted to rates like a magnet, take a look at the longer term chart.

Rates and the SPX were in lockstep on the October rally, which had strong 3C accumulation, since they fell out and the market took a sharp downside correction, through the last area in the red box not only have they diverged/dislocated badly, but are at multi-year lows now.

 The correlation between the SPX/Market and the Euro has been totally shut down today, which is odd being they have tracked so well recently, I mentioned earlier why I think this is happening and the disappointing GDP today I think is no coincidence.

 Here's the normal correlation, note today's distinct change in character.

Commodities which have a tight correlation to FX markets are responding in general to the Euro, Equites however have been shut down completely.