This is what happened in the markets today. Stocks selling hard, 10-year Treasury spiking to 5.135%, highest since July 2007. US Treasury buybacks up to $6B from $2B, but this is a standing liquidity program started in August, not reactive to today.
Iran just closed the door on talks. Hardline position at the UN...Trump meets their demands or the Strait of Hormuz stays closed indefinitely. No more negotiations.
Market repriced the risk real fast. Fed's Barr saying more rate hikes are likely.
What prevented the markets from getting uglier is the Trump-Xi trade truce extended to Jan 10. And the White House denying the diesel export ban story.
How will you trade the markets tomorrow on Sai?