US yields remain elevated as liquidity constraints—high TGA, low RRP—continue tightening financial conditions. Corporate credit spreads (OAS) have widened following defaults at Tricolor and First Brands. Markets are increasingly pricing credit stress among leveraged firms, including MicroStrategy and Oracle, where CDS levels are rising sharply. Highly leveraged balance sheets now pose broader contagion risks for equities, while cash-flow-strong companies retain downside resilience.
Key Levels: Support 6,593.2 | Resistance 6,789.0
Investor Takeaway: RSI 31 trending down with emerging MACD selling signals. Liquidity strain + widening OAS warrant defensive positioning despite broader index resilience.