Daily Morning Report

Monday, March 26–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

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

Reports Sunday said Chinese trade officials have agreed to sit down and negotiate with U.S. trade officials regarding the U.S.’s issues regarding bilateral trade with China. U.S. Treasury Secretary Steve Mnuchin on Sunday said the U.S. was “working on a pathway” to reach agreement with the Chinese. And the South Koreans have agreed to some U.S. terms on U.S. trade disputes with that country. All of the above had made a world trade war less likely. This has put some risk appetite back into the world marketplace.

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Friday, March 23–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

World stock markets were solidly lower overnight and U.S. stock indexes are also pointed toward losses when the New York day session begins. The specter of a heated trade war between the world’s two largest economies has the marketplace spooked to end the trading week. The U.S. on Thursday slapped new trade sanctions on China, and China responded by announcing its own import tariffs on U.S. goods.

U.S. stock indexes have seen fresh chart damage inflicted this week, to suggest the Nasdaq has topped out, and to better confirm the S&P 500 hit its major top in January.

Safe-haven gold and U.S. Treasuries are getting price boosts on the potential trade war between the U.S. and China.

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The grain markets have been punished recently, after enjoying price uptrends to start 2018. Near-term tops have very likely occurred in corn, soybeans and wheat. Now, look for sideways-at-best price action in the coming few weeks, until the U.S. planting and growing season gets under way. Remember that most years the grain markets see bullish summertime weather markets develop and play out. Keep reading my daily reports to get those early clues on when the weather-market rallies are about to get under way. Stay tuned!

Thursday, March 22–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

World stock markets were mostly lower overnight. U.S. stock indexes are pointed toward lower openings when the New York day session begins. The global equity markets are seeing pressure in part due to a slightly hawkish FOMC meeting of the Federal Reserve that concluded Wednesday afternoon with a quarter-point U.S. rate hike, which was fully expected. The technology sectors remain under pressure this week amid the FaceBook data scandal.

The Bank of England holds its monetary policy meeting on Thursday.

In overnight news, the Euro zone’s composite purchasing managers index (PMI) came in at 55.3 in March. That was below market expectations for a reading of 56.7. A reading above 50.0 suggests growth.

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Wednesday, March 21–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

World stock markets were mixed to mostly lower in quieter trading overnight. U.S. stock indexes are pointed toward slightly lower openings when the New York day session begins.

The major economic data point of the week will be this afternoon’s statement at the conclusion of the Federal Reserve’s Open Market Committee meeting (FOMC) that began Tuesday morning. Federal Reserve Chairman Jerome Powell will also hold his first press conference this afternoon. Most expect the Fed to slightly raise U.S. interest rates today.

The Bank of England holds its monetary policy meeting on Thursday.

A major snowstorm on the East Coast of the U.S. has closed the federal government offices in Washington, D.C. However, economic data will be released via the government agency websites.

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June e-mini S&P futures trading has turned choppy recently, but an uptrend line has has been negated early this week. The major chart damage that occurred in January and February was never completely repaired, which still suggests the S&P has put in a major market top. For that notion to change, prices will have to push to new highs, which is now a very tall order. Stay tuned!