All the exuberant AMZN-driven gains overnight in US equity futures have evaporated after the much-better-than-expected payrolls print sparked 'good news is bad news' selling pressure this morning...
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And with the last big hurdle ahead of Fed hikes now lifted, bond yields are also spiking...
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The 30Y Real yields just went positive for the first time since June 2021...
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The dollar spiked on the 'hawkish' headlines...
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The market is now pricing in a 35% chance of 50bps hike in March...
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And while STIRs are pricing in more hawkish action, the yield curve is screaming 'policy error imminent' as it flattens dramatically...
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So will it be 25bps or 50bps in March?
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