As the massive global dollar shortage ripples its way through carry unwinds and into every asset class... The "truth" is out there... Wait What? Who couldanode? This is the worst run for the S&P in 2 months... and the S&P (and Dow) have closed below their 50DMA... Dow down over 600... As yesterday's dead-cat-bounce (as we noted) is crushed... (with Nasdaq lagging notably) NOT OFF THE LOWS It appears the exuberance of Nasdaq 5,000 is now a long way behing us... and if you're waiting for short covering... think again... With S&P and Dow joining the Trannies in the red year-to-date... Credit smelled it coming.... Thanks to Moar Surging by the USDollar...Swissy, EUR, Aussie all monkey-hammered... This is the fastest rise in The USD In 34 Years... and EM FX is baumgartner'd Treasury yields - having shurgged off last week's major corporate issuance - are resuming their plunge... (down 4-7bps today and notably flatter)... NOTE: TSY Yields are now 3-4bps lower on the year (outperforming stocks). Bonds have retraced all of the Jobs losses. Dollar strength dominated commodities today... With crude clubbed back below $49... Stable? Charts: Bloomberg