Daily Morning Report

Friday, January 26–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

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

The marketplace is still buzzing about comments from U.S.
President Donald Trump that were aired by CNBC on Thursday
afternoon. Trump said he ultimately wants a stronger U.S.
dollar. His remarks briefly roiled the currency markets,
with the U.S. dollar index popping on the news and other
currencies backing way off their daily highs. However, the
dollar-bullish comments from Trump quickly wore off, as
traders reckoned the slide in the dollar has been going on
for some time now and nothing changed from Trump’s
comments.

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Thursday, January 25–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

World stock markets were mixed to weaker overnight. U.S. stock indexes are pointed toward firmer openings when the New York day session begins. Big moves in the currency markets Wednesday have thrown a bit of uncertainty at equities traders late this week.

The U.S. Dollar Index is weaker and hit another 3.5-year low overnight. The greenback slump is a bullish element for the raw commodity sector. Most major commodities are priced in U.S. dollars on the world market. The depreciating dollar makes those commodities cheaper to purchase in non-U.S. currency. The Euro currency rose to a more-than-two-year high overnight.

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The soybean futures market has made a solid rebound recently, to suggest a market bottom is in place and that prices can sustain a near-term uptrend. The corn market is also showing early signs of bottoming out. In the coming months, weather market scares during the U.S. planting and growing season will likely occur, to increase daily price volatility and likely prompt quick upside price action. It is my bias that the grain futures markets have put in major bottoms and their present prices are long-term value-buying opportunities. Stay tuned!–Jim

Wednesday, January 24–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

World stock markets were mixed in overnight trading. U.S. stock indexes are pointed toward firmer openings and new record highs when the New York day session begins.

Gold prices are solidly higher early today and hit a 4.5-month high overnight, amid a slumping U.S. dollar.

The key outside markets on Wednesday morning see the U.S. dollar index solidly lower and hitting a 3.5-year low. Meantime, Nymex crude oil prices are slightly higher and not far below last week’s more-than-three-year high.

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Tuesday, January 23–Jim Wyckoff’s Morning Markets Report

OVERNIGHT DEVELOPMENTS

The U.S. government reopened Tuesday after a three-day shutdown. U.S. lawmakers finally agreed on a temporary budget plan. That situation did not have a major impact on the world marketplace, but world equity markets were mostly higher Tuesday, partly on relief the U.S. government was open for business. U.S. stock indexes were set to open narrowly mixed when the New York day session begins.

Focus of the marketplace this week is on Davos, Switzerland and its World Economic Forum that began Tuesday. World government officials, corporate heads and other celebrities and bigshots will be at the yearly event to discuss economics and ways to make the world a better place. The highlight of the event will be a speech by U.S. President Trump.

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The U.S. Treasury bond and note futures markets have hit contract lows to start the trading week. Rising bond yields (lower prices) are an indication of rising inflation and interest rates. See on the daily bar chart for March U.S. Treasury note futures that prices are in a solid downtrend. There are no early clues to suggest the price downtrends in T-Notes and T-Bonds will end any time soon. Thus, the path of least resistance for prices will remain sideways to lower for at least the near term. Stay tuned!–Jim