Stocks pulling back sharply as a new trading week gets underway.

We are sitting at session lows. The most important hour of trading starts now.

Welcome to the closing bell, I'm Mike Santoli in for Sarah Eisen.

And let's get straight to today's sell-off. Down more than 2% on all the major averages.

The S&P 500 here, if you look at the year-to-day chart, obviously that very aggressive rally

off the mid-June lows, really accelerated in July. It's kind of folded back. of

rally off the mid-June lows, really accelerated in July.

It's kind of folded back on itself there.

And here's the area that we were all last week pointing out.

A normal pullback would get you down in here.

4170 or so is to early June highs. That would show you that in here 41 70 or so is the early June highs that would show you

that it was a pretty strong persistent rally.

Cpped crack below that also may be relevant.

We've also gone back to the levels that we were at right before, just about right before that

CPI report August 10th where the market gap tire and then we went on to

fresh highs for the rally. We've kind of unwound that just a little bit. Take a

look at 10-year treasuries because this is part of the story, a big part, above 3%

again. The stock market has not really easily been able to digest 3% yields this year and last year as well.

And you see there going back to July, mid late July levels last time we were here.

3.4% is the high, the two-year note yield also making close to the former highs are above 3.3%.

So clearly the idea that the Fed's going to keep tightening at the same time inflation remains an

issue along with growth those are the issues and

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