As South Africa hiked rates this morning (whose effect on the Rand was promptly overwhelmed by the Lira collapsing back to weaker than pre-rate-hike) stock markets around the world are rapidly deteriorating and the safety of bonds and bullion is being sought aggressively. S&P futures are -10 from pre-Turkey; Dow -100; Nikkei -30; and EEM swung from up over 2% to down almost 1% in the pre-open. Treasuries are 6bps tighter than post-Turkey and gold (and silver) are rallying smartly back up to $1268 (+$20 from post-Turkey lows). It would seem EM turmoil is un-fixed. Turkish stocks are collapsing and the Hungarian Forint is collapsing.

Dow and Nikkei have given it all back...

as have Emerging Market stocks...

As Turkish stocks collapse...

European Stocks are tanking...

and the contagion spreads to other currencies...

As Emergening Market CDS explode...

S&P futures are getting slammed...

Bonds are surging...

and so is gold...

We can't help but see the irony of this tumult and the possibility of a global financial meltdown occurring on the day of Bernanke's last FOMC meeting...