Early Update

9:46 a.m. ET

The averages are down between -2.4% to -3%

This is a shocking open. Look at this drop in the 10-year yield…

10-year yield (60m) that’s this morning alone

New lows in Small Caps, Energy, Financials, Industrials, Transports.

Relative weakness in Energy, Financials and Banks. Even the better performing defensive Utilities is a laggard. Recall at the end of last week’s decline the defensive sectors got dumped more strongly at the end of the week.

SP-500 (15m)

IWM/Small Caps (15m)

High yield credit looks bad this morning.

SPX (15m) and HYG (blue) making a lower low- leading the S&P lower

I’ll have more ASAP as it develops, but this is a worse looking day than the 3% decline suggests.