Above 5.00% is the Test: 5%: PMIs, a blown 5-year auction, and the 10-year through 5.11%. Mega caps are what’s left holding the table.

The major averages finished broadly lower on Wednesday as a breakout and sharp increase in Treasury yields, accompanied by a rise in crude oil, weighed on equities. The title of Tuesday’s market wrap was, “5% is the Test.” We saw rumblings in equities as the 10-yr blew past 5.00% Wednesday. Semiconductor and mega-cap growth stocks…