Bond market volatility continues to lead all markets lower, triggering a further round of deleveraging. Cryotos have been crushed and Credit markets appear to have hit capitulation, even if equities have not.

The market fall this year has been steady and relentless rather than a panic crash, and last month the Sell in May mantra cut through and markets switched to bear market behaviour of selling rallies and not buying dips.

A quieter end to the month as oversold conditions are at least stabilising if not obviously (yet) reversing. This has been a steady slide, rather than a crash per se, but markets remain fragile.

The collapse of Crypto is important, but likely not as significant for markets and economies as the collapse of the Unicorns from a supposed $3.7tn valuation to…a lot less.

In the Monthly Market Thinking, we focused on the rapidly retreating market liquidity and repeated Warren Buffet’s quote about seeing who is left swimming naked.