S&P 500 rally didn‘t catch a second breath before the closing bell, and bonds aren‘t favoring it to continue. There is no risk-on constellation anymore, and the broad selloff on growth slash recession worries has driven both oil and copper down from their bottom searching patterns. Treasuries are also demanding more action from the Fed, and the central bank would oblige. I expect Powell to downplay the effects on the real economy. Not good, and the speed of recent price action – especially when the failure to gain similar traction to stocks in recent days – is considered. Precious metals are to keep up best, and I mean gold and miners here. Cryptos and economically sensitive commodities are to remain under pressure, and the failure of oil to be put on a floor yesterday is worrying. Gotta respect the price action even though black gold hasn‘t peaked, and a much bigger crisis is brewing – one not to be solved with some gas tax holidays.

For the full macro details, please check yesterday‘s extensive analysis if you haven‘t done so already.

Let‘s move right into the charts (all courtesy of Stockcharts.com).
 

S&P 500 and Nasdaq Outlook

Today‘s closing prices would reveal sharp and ongoing deterioration. The reprieve is over after a few measly days.
 

Credit Markets

Setting the tone, setting the tone – and it‘s one of shrinking liquidity – but the turn in long-dated Treasuries higher is approaching. It‘ll be in recognition of darkening economic prospects.
 

Gold, Silver, and Miners

The precious metals sector would hold up best, and gold with miners looks cushioned against further declines. Namely given the following charts‘ posture.
 

Crude Oil

Crude oil had the hallmarks of a local bottom, and given that it‘s not holding in today‘s trading, the Powell testimony is likely to add to the short-term pressure regardless of China being hungry for more black gold.
 

Copper

For many weeks, I had the greatest reservations about copper, and its chart posture has turned ugly. I don‘t see the Fed pivoting yet, or markets moderating their downswings in anticipation thereof.
 

Bitcoin and Ethereum

This bottom searching isn‘t over, and cryptos are likely to keep declining, which has been in line with one of my calls of late.