Daily Morning Report

Wednesday, September 12–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

World stock markets were mixed overnight, with European stocks mostly up and Asian equities mostly down. U.S. stock indexes are pointed toward slightly firmer openings when the New York day session begins. There is little risk aversion in the marketplace so far this week, despite some looming trade and secondary currency matters that could upset traders and investors in the near term.

The U.S. economic report pace picks up speed today after light schedules Monday and Tuesday. The highlight today is the producer price index for August, which is expected to be up 0.2% from July.

On Thursday the European Central Bank meets and is expected to report it will continue to pull back from years of a very easy monetary policy. The Bank of England also holds is regular monetary policy meeting Thursday.

The key outside markets today find the U.S. dollar index lower. Meantime, Nymex crude oil prices are higher and trading just below $70.00 a barrel.

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Tuesday, September 11–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

World stock markets were mixed but mostly lower overnight. U.S. stock indexes are pointed toward lower openings when the New York day session begins. Hong Kong’s Hang Seng Index fell into bear market territory this week, meaning the stock index is down 20% from its most recent high.

World trade matters remain on the front burner of the marketplace early this week. Reports said the U.S. and European Union may be getting closer to a trade agreement after recent meetings.

The British pound is firmer this week on reports the U.K. and the EU are close to a Brexit agreement.

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The U.S. stock indexes continue in longer-term price uptrends, with the recent price pullbacks just corrective in nature–so far. We are now into the historically turbulent months of September and October, which has given pause to some traders and investors. Still, the path of least resistance for the U.S. stock index markets remains sideways to higher until there is some near-term technical damage to suggest otherwise. Stay tuned!

Monday, September 10–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

World stock markets were mixed to mostly higher overnight. European and U.S. stock indexes were higher, while Asian stock markets were mostly lower. Risk appetite among traders and investors is on the upswing to start the trading week, despite some lingering concerns about the trade war being waged between the U.S. and its major trading partners—namely China. The U.S. is set to levy still more tariffs on China’s imports to the U.S.

Secondary currency and financial markets appeared to stabilize to start the trading week, which has somewhat assuaged the marketplace.

The key outside markets today find the U.S. dollar index slightly lower. Meantime, Nymex crude oil prices are higher and trading just above $68.00 a barrel.

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Friday, September 7–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

World stock markets were mixed but mostly weaker overnight. U.S. stock indexes are also pointed toward slightly lower openings when the New York day session begins.

Traders and investors are awaiting what is arguably the most important U.S. economic report of the month, due out this morning: the Labor Department’s employment situation report for August. The key non-farm payrolls component is expected to be up around 190,000. Thursday’s ADP national employment report for August came in at up 163,000 jobs, which was slightly below market expectations and hints the more important Labor non-farm jobs number today may come in light.

Emerging stock markets have slipped into bear territory, according to a closely watched index—the MSCI Emerging Markets Index. The index has dropped 20% from its recent high. There are still lingering worries about eroding emerging markets and secondary currencies creating a contagion to impact larger currencies and financial markets.

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The grain market bears are in near-term technical control as we head into the U.S. corn and soybean harvest season. It will be tough for prices to mount decent rallies in the coming weeks, amid the harvesting of what are expected to be very large corn and soybean crops. About the best the grain market bulls can hope for in the next couple months will be sideways price action. Stay tuned!