Stocks just not dropping fast enough to keep up with rising rates…. The equity outflows have not even started yet

What is amazing is how EXPENSIVE this market is relative to rates. The spread between the #sp500 Earnings yield and the 10-Yr nominal rate is at multi-year lows. Even after today's drop. Stocks just not dropping fast enough to keep up with rising rates. pic.twitter.com/3FVZsx2uwv

— Michael J. Kramer (@MichaelMOTTCM) September 13, 2022

You think the equity markets have been bad…? Well, the equity outflows have not even started yet… large outflows is normally a prerequisite for a low to form.

The longer rates stay high, the longer we’ll see downside momentum to earnings revisions. If earnings estimates for 2023 ($244) don’t change, there is only a 2% gain into year end from EPS from current NTM estimates. Anything beyond that must come from P/E expansion. #macro #EPS pic.twitter.com/vTDvphUARW

— Kantro (@MichaelKantro) September 13, 2022

Individual investors bought 2B during yesterday’s selloff – WSJ pic.twitter.com/r63lNwwSVc

— Alessio (@AlessioTMAD) September 14, 2022

Still VERY possible to see the pre-Covid $SPX highs at 3,390 before year end. If not, high probability in first quarter 2023. Fed pushing economy towards a recession it won't be able to get us out of, as inflation will remain sticky at 4-5% longer-term. #StockMarket #Recession pic.twitter.com/BkUyj0yRpf

— Gareth Soloway (@GarethSoloway) September 13, 2022

IEA: WE ARE SEEING THE BIGGEST DROP IN CHINA OIL DEMAND IN OVER THREE DECADES.

— FinancialJuice (@financialjuice) September 14, 2022

Eurozone factories suffer the biggest output fall since the pandemic hit as the energy crisis drags production to a halt.

Now huge companies might become nationalized, and governments are scrambling to try to avoid a liquidity event.

This is what a chain reaction looks like.

— Gold Telegraph ⚡ (@GoldTelegraph) September 14, 2022

The IMF Managing Director said today that big creditors must work to prevent a debt explosion.

Has she looked at global debt lately?

$300 trillion.

— Gold Telegraph ⚡ (@GoldTelegraph) September 14, 2022

h/t silvertomars