Daily Morning Report

Tuesday, April 3–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

World stock markets were lower overnight, following the sharp losses seen in the U.S. stock market on Monday that saw the indexes hit seven-week lows. U.S. stock indexes are pointed toward firmer openings, on corrective bounces, when the New York day session begins.

Fears of a global trade war have been stoked further by China’s retaliatory actions after the U.S. recently slapped the world’s second-largest economy with trade sanctions. While the U.S. and China have begun negotiations to resolve their trade dispute, the world marketplace is nonetheless rattled by the matter.

Gold prices, U.S. Treasury bonds and notes, and the U.S dollar index rallied Monday, on safe-haven demand.

The key “outside markets” on Tuesday morning see the U.S. dollar index slightly lower. Meantime, Nymex crude oil prices are firmer and trading just above $63.00 a barrel.

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Thursday, March 29–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

World stock markets were mostly higher overnight. U.S. stock indexes are also pointed toward firmer openings when the New York day session begins. Still, world stock markets have become wobbly again, which favors the bears and still suggests major market tops are in place for the stock indexes.

The shaky global stocks markets this week have boosted safe-haven U.S. Treasury prices to multi-week highs. Yet, to the chagrin of gold bugs, their yellow metal has sold off. However, it’s my bias the gold and silver markets’ prices would benefit from continued higher volatility in world equity markets in the near term.

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This week has seen the U.S. stock indexes see the return of higher volatility, and that’s not bullish. See on the daily chart for the S&P e-mini June futures the high volatility that has been in place since the long price uptrend fizzled out in January. See at the bottom of the chart that the Moving Average Convergence Divergence (MACD) indicator is in a bearish posture, as the blue trigger line is below the red MACD line and both lines are trending lower. It is my bias that the U.S. stock indexes have put in major market tops, due to the serious technical damage that has been inflicted over the past two months. Stay tuned!

Wednesday, March 28–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

World stock markets were mostly lower overnight, led by declines in the technology sector amid worries about increased government regulation of social media firms. U.S. stock indexes are again pointed toward weaker openings when the New York day session begins. World stock markets have become wobbly again, as investor risk appetite is slipping away. Now, the technical clues the U.S. stock indexes have put in major tops are mounting again.

The key “outside markets” on Wednesday morning see the U.S. dollar index higher. Meantime, Nymex crude oil prices are lower and trading just below $65.00 a barrel.

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Tuesday, March 27–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

World stock markets were mostly higher overnight. U.S. stock indexes are again pointed toward higher openings when the New York day session begins.

Risk appetite is back in the marketplace this week amid early signs the U.S. and China will work out their trade disagreements. That’s bullish for world stock markets and bearish for safe-haven gold and silver markets.

In overnight news, China’s central bank pushed the value of its currency, the yuan, to a 2.5-year high against the U.S. dollar Tuesday. The move by China’s central bank could be an effort to assuage U.S. trade concerns. A stronger yuan makes importing China’s products more expensive.

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The U.S. dollar index is a basket of six major world currencies stacked up against the U.S. dollar. See on the daily bar chart that the USDX is in a fledgling downtrend and has hit a five-week low early this week. The greenback bears have downside technical momentum to suggest more price pressure this week. That’s good news for the raw commodity market bulls. Stay tuned!