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The indices continued to retrace last week's big 2-day rally, and perhaps right on cue as we enter the pre-holiday reversal period, and the debt ceiling deadline quickly approaching closer. The Dow lost 231-points, but worse than that was the negative reversal in many indices as the small caps were on the verge of a breakout, but instead failed and rolled over. Yields also rolled over as bonds were up for the first time in 8 trading sessions.

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