Markets Turn Defensive as Bonds Fall and Sell Signals Multiply
U.S. stock index futures are pointing to a weak open Wednesday as investors digest a large number of economic reports and await upcoming Federal Reserve decisions on interest rates. The major concern remains the bond market, where prices continued to fall and yields moved higher. Numerous bond ETFs have returned to sell signals, while gold, silver, copper, palladium, platinum and related mining stocks have also weakened and generated additional sell signals.
The technical picture for equities has deteriorated, with new sell signals appearing across major Canadian and U.S. index ETFs, including the S&P 500, NASDAQ 100, Vanguard Total Market ETF and several sector ETFs. Energy remains a notable area of strength, with crude oil moving higher and energy stocks reaching new highs. The overall message is defensive: follow the market’s signals, monitor the continued weakness in bonds, and avoid assuming that individual pre-market strength—such as Dell’s sharp opening gain—represents a sustainable trend.
Stephen Whiteside
Wednesday, September 2, 2026
