Futures vs FV: SP +5.09; DJ +40.22; NASDAQ +8.72
A bit of life in futures to end 2016, somewhat appropriate given the year end rally in the market.
Not a lot of news to drive it of course, and indeed some of the news is unnerving.
Dollar: Overnight in the early morning session the dollar flash crashed against other currencies. It has recovered some lost ground but is still underwater against the euro. Hopefully this is not a sign of something else yet to show up.
Russia: After preparing to respond to the US sanctions, expulsions of diplomats, etc., Russia's Putin said Russia would not engage in this kind of "kitchen sink" diplomacy and wait on responses until the new administration is in place. Putin attempting to one up the Obama administration by appearing to take the high road. This after a Syrian ceasefire was announced without the assistance of the US. The ceasefire has held for 24 hours, about 20 hours longer than the prior one the US was involved in. The geopolitical games are in full swing.
Oil: down modestly ahead of the OPEC/Non-OPEC production cut agreement set to go into effect 1/1/17.
China: To ease foreign investment restrictions for Chinese banks. More insight into just how bad is the China economy. Some economists are now saying China will have to lower its already lowered growth forecast from 6.5% to something weaker.
OTHER MARKETS
Bonds: 2.481% vs 2.48% 10 year.
EUR/USD: 1.0540 vs 1.0486. Dollar flash crashed in the very early session and has recovered lost ground but not all of it.
USD/JPY: 116.90 vs 116.659
Oil: 53.68, -0.11
Gold: 1158.20, +0.10
US futures are off the highs but holding the gains to the open. As has been the question each session, will the early moves hold? Each session this week sees opposite moves at some point, the most recent being selloffs from the open. Thus you can't put too much faith into this open. We were not going to anyway. Like that stocks will rebound, but not ready to buy in on the last day of the year.
Jon Johnson, Chief Market Strategist
InvestmentHouse.com
______________________________________
Alert Key
http://www.investmenthouse.com/alertkey.htm
Customer Support: http://investmenthouse.com/contact_us.php
No comments:
Post a Comment