DELAY IN STIMULUS TALKS SINKS STOCKS -- TEN SECTORS LOSE GROUND -- BOND YIELDS ALSO DROP

STOCKS SELL OFF IN AFTERNOON TRADING... Stocks fell this afternoon after a presidential tweet pushed stimulus talks until after the November election.   The three charts below show major stock indexes reversing lower from chart resistance formed a couple of weeks ago.   Ten of eleven sectors also ended the day in the red.  Utilities were the only winners.   My earlier message showed the Financial SPDR (XLF) testing its 200-day moving average.  Chart 4 shows the XLF failing that test today.  That earlier message also showed the Russell 2000 iShares (IWM) trading at a seven-month high.   Chart 5 shows the IWM closing modestly lower on the day.   Chart 6 shows the 10-Year Treasury Bond yield also closing lower after hitting a four-month high earlier.    Judging from today's negative reactions, it seems clear that bond and stock traders were betting on a fiscal stimulus package sooner rather than later.