Smidiríní

Markets are set to post their largest monthly declines since September of last year.  The major indices are down between 6-7% for the month.

ADP says US Added 133-000 Jobs In May {Bloomberg}.  This was short of the 150,000 Street estimates and will add increased focus on tomorrow's government jobs report.

Only four Dow Components are up in price for May.  They are Walmart {WMT}, Disney {DIS}, AT&T {T}, and Verizon {VZ}. 

10 Year Treasury Yield Drops to 1.62%  {Bespoke}  Their comment, "Since peaking near 16% in the early 1980s, the yield on the 10-Year Treasury Note has been in a steady downtrend -- a downtrend that has now lasted 30 years.  Today the yield dropped more than 7% -- one of the 12 biggest one-day declines in history -- to 1.62%. Buy at your own risk"  Here's their chart of bond prices since 1962. 

Finally here's an interesting thought from CNBC's Fast Money where the question was asked, "What if Facebook traded at Apple Computer's multiple?".  Here's a couple of comparisons.

"Currently Facebook's forward P/E is around 53, but as {its} shares.....sink to new lows on almost a daily basis, the market is starting to question that valuation.......Fast {Money} breaks it down by the numbers."

If Facebook traded at Apple’s forward P/E of 11.7 Then Facebook would be worth $6.30

If Facebook traded at the S&P 500’s forward P/E of 12.8, it would be worth $6.90.

If Facebook traded at Google’s forward P/E of 13.2, it would be worth  $7.15.


If Facebook traded at Zynga’s forward P/E of 19.5, it would be worth $10.55.

If Facebook traded at LinkedIn's forward P/E of 128.2, it would be worht  $128.20.

*Long ETFs related to the S&P 500 in client and personal accounts.  Long ETFs related to the Dow Jones Industrial Average in certain client accounts.  Long TBT in client and personal accounts.  No direct positions in any of the stocks mentioned in this article with the exception of VZ, T and Apple.