Daily Morning Report

World stock markets were mostly higher overnight, following the lead of the U.S. stock market on Friday, which rallied in the wake of an upbeat U.S. employment report that showed healthy jobs gains amid inflation that is not deemed problematic. U.S. stock indexes are pointed toward higher openings when the New York day session begins.

The marketplace is still digesting last week’s U.S. implementation of trade tariffs on steel and aluminum. The European Union wants to talk to the U.S. on the matter, while China warned it will retaliate for the U.S. tariffs.

Continue Reading

Friday, March 9–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

World stock markets traded near steady in quieter action overnight. U.S. stock indexes are pointed toward slightly higher openings when the New York day session begins.

The most important U.S. economic report of the month is on deck today—the employment situation report for February from the Labor Department. The key non-farm payrolls number is forecast to come in at up 205,000. A significant miss on the forecast is likely to gyrate the markets, at least for a bit. The wages component of the jobs report will also be closely scrutinized for a gauge on inflation.

Reports overnight said a meeting between U.S. President Donald Trump and North Korean leader Kim Jong Un is set for May. However, many are skeptical such a meeting will actually take place. Still, the news adds to the upbeat investor risk appetite presently in the world marketplace.

Continue Reading

The gold market has seen choppy and sideways trading recently, as bulls and bears struggle for near-term technical control and with neither gaining much advantage. The direction in which gold prices break out above the resistance line or below the support line will likely be the next trending move of the precious yellow metal. Stay tuned!

Thursday, March 8–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

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

Markets were somewhat assuaged overnight on reports the U.S. government could implement so-called “carve-outs” for certain countries (namely Canada and Mexico) when it imposes tariffs on steel and aluminum, as early as this weekend. Now it appears the U.S. has its sights set on what many believe to be the main problem in world trade: China.

The main event of the trading day Thursday will be the European Central Bank’s regular monetary policy meeting. No change in interest rates is expected from the ECB, but ECB President Mario Draghi’s press conference could offer clues on the future path and timing of ECB monetary policy.

Continue Reading

Wednesday, March 7–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

World stock markets were mostly lower overnight. U.S. stock indexes are pointed toward solidly lower openings when the New York day session begins. The stock, financial and currency markets are somewhat spooked after White House chief economist Gary Kohn announced his resignation amid the increasingly protectionist rhetoric coming from U.S. President Donald Trump.

The resignation of Kohn suggests Trump is pushing forward with his plan to slap tariffs on imported aluminum and steel. Kohn’s departure heightened the speculation that there is keen turmoil presently in the White House west wing.

Continue Reading

The longtime market watchers remember the days when the grain markets were king of the hill, regarding speculator trading interest. While the grains may never be the only game in town again, recent upside price action has again garnered the keener interest of the trading community. And we are heading into the important spring and summer planting and growing season for U.S. crops with a head of steam in the grain futures. Look for some higher volatility and speculator buying interest in the grain futures markets in the coming months, or longer. See on the daily bar chart for May soybean futures that prices are in a steep uptrend, but the market is now overbought and due for a corrective pullback, as evidenced by the high reading on the Relative Strength Index. Any RSI reading above 70.0 suggests a market is overdone on the upside. Stay tuned!