It looks like the bleeding has stopped -- at least for now. The markets rallied today. The SPYs were up 1.79%, the QQQQs were up 1.71% and the IWNs were up 2.74%. Below are the charts in the previously mentioned order. Notice the markets rallied well all day. They sold off a touch at the end, but that is to be expected. What's important going forward is traders are willing to hold their positions overnight.
I should add, this sure feels like a dead-cat bounce to me. The news today was uniformly bad -- productivity was down, new orders dropped and employment costs rose. This means
1.) Businesses will have a harder time passing on increased input prices.
2.) The economy is slowing, and
3.) Inflationary pressures may be increasing, or at the least holding steady.
All three together are very bearish news, adding further evidence that today's rally was mostly technical in nature.