GLOBAL STOCKS UNDER HEAVY SELLING PRESSURE -- TEN-YEAR YIELD FALLS BELOW 2-YEAR -- RETEST OF 200-DAY AVERAGES APPEARS LIKELY

MORE HEAVY STOCK SELLING...Global stocks are under heavy selling pressure again today.  Bond yields continue to drop around the world.  The ten-year Treasury yield dropped below the 2-year yield for the first time since 2007 which has created a second inversion of the yield curve.   The 10-year yield fell below the three-month yield a few months ago.   Today's yield inversion increases odds for a recession.  Utilities are the only sector in the green; while energy, financials, discretionary, technology, and industrials are leading the market lower.  Banks are taking an especially big hit as bond yields drop further.   Crude oil prices are falling sharply again, while gold prices rise.  Retailers are having an especially bad day.   Chart 1 shows the Dow Industrials losing -2.5% today.   The chart shows the Dow bearing down on its 200-day moving average and last week's low which will be an important test.    Other stock indexes are falling a similar amount, and are likely to retest their 200-day lines as well.