Core PCE climbing 0.3% MoM, combined with a tepid 1.8% GDP print, confirms mounting stagflationary headwinds. Bond yields are spiking across the curve, signaling imminent tightening financial conditions. Aggressive sector rotation into deep defensives, coupled with a VIX surge of 15% overnight, indicates institutional risk-off capitulation. This data stack dictates an imminent market downside acceleration. 90% YES — invalid if Fed pivots dovish within 48 hours.
