Futures vs FV: SP +12.93; DJ +141.27; NASDAQ +42.51
Futures on a steady rise all morning though peaked out, holding most of the gains, after the Q3 GDP second revision. A steady build as shown is a much better indication than the gap to a spot and then stuck there. This is a good indication the move off that test of the October low continues.
GDP Q3, 2nd: 3.5 vs 3.6 exp vs 3.5 1st
Consumption: 3.6 vs 3.9 exp vs 4.0 1st
Core PCE: 1.5
Business Investment: 2.5 vs 0.8 first vs 8.7% Q2
Inventories surged, adding more to GDP this time as other areas waned. That makes the quality of this report not as solid.
Fed: Powell speaks at 12:00ET in what is called his most important speech yet. Of course people are looking at hints for a Fed softening. Recent Fed speakers (Tuesday) have been read as leaning toward a softening for 2019.
Fed Funds Futures: Now showing 1 to 2 hikes in 2019 versus the 2 to 3 previously.
Mnuchin is reported to have been lobbying the Fed for alternatives to rate hikes.
Brexit: May changes course, says will allow parliament to alter Brexit deal.
TIF: Sales fade, reportedly on fewer Chinese buyers.
Bonds: 3.064% vs 3.059%
EUR/USD: 1.128 vs 1.1294
USD/JPY: 113.86 vs 113.79
Oil: 51.16, -0.40
Gold; 1213.00, -0.40
Market is set to move higher and continue the bounce off the October low test after a Tuesday pause that saw stocks come back from a weak open. The market has a lead. The past few weeks it could not hold a lead. Now it looks as if it can do that. We will see if we can get a few more good entries to go with those we have already picked up as this move started to gel.
Jon Johnson, Chief Market Strategist
PLEASE DO NOT REPLY TO THIS EMAIL. USE THE CONTACT US PAGE ON OUR WEBSITE.
Customer Support: http://investmenthouse.com/contact_us.php
Post a Comment