HY not making new wides, despite S&P 500 making new lows = divergence. HWOL data suggests JOLTS job opening ratio could fall to 1.85 for August (reported 10/4)

This week is even uglier than last week.

Financial markets have become even more wary this week, with markets concerned about a plethora of factors as the Fed remains committed to cooling inflation at a time when uncertainty is fueled by Russia-Ukraine war and diminished liquidity in markets. So investors are worried that something will break.

But in our view, the key interplay remains the trajectory of inflation and its ultimate influence on central banks. Tight labor markets and t...

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