The June jobs report was cheered by economic bulls given its strength in level terms, but rates of change among leading indicators don't favor a soft-landing outcome for the economy.

The Federal Reserve's pledge to curb inflation appears to have resonated with the market. If the central bank raises rates as much as recent projections indicate, the risk of recession rises. Consequently, bond yields have been pulling back from recent highs and the yield curve has flattened.

Inventory gluts has been bad news for the stocks of companies experiencing them, but could also be indicating an inflation peak, which tends to be an ingredient for market bottoms.

A spike in prices and interest rates has dealt a significant blow to housing affordability, elevating the potential for the housing market's weakness to dampen economic growth.

Investors often notice the overall direction of markets; missed changes in asset classes under the surface could see a shark attack take a big bite out of unprepared portfolios.

Economic uncertainty may have peaked in the first half of 2022, but it remains high. Stocks are likely to continue to feel the weight of Federal Reserve policy tightening, shrinking market liquidity and slower economic growth.

What our experts think about the recent stock market drop.

Performance underneath the surface is sometimes markedly different from the action at the Growth and Value index level.

Key things to know first.