The U.S. Treasury bond and note futures markets have recently hit new contract lows amid solid price downtrends on the daily charts. The bear market is Treasuries is strong and there are no early chart clues the price downtrends (rising yields) will end anytime soon. It is becoming more likely that the quarter-century bull market is U.S. Treasuries is coming to and end. Such also means rising inflationary pressures as well as rising interest rates. Stay tuned!
Daily Morning Report
U.S. Stock Indexes Mixed In Early Trading Thursday
Thursday, February 22–Jim Wyckoff’s Morning Markets Report
OVERNIGHT DEVELOPMENTS
World stock markets were mostly lower overnight. U.S. stock indexes are also pointed to narrowly mixed openings when the New York day session begins.
The marketplace has mostly digested Wednesday afternoon’s FOMC minutes that said stronger-than-expected U.S. economic growth in recent weeks is keeping the Federal Reserve on pace to keep gradually raising U.S. interest rates. The minutes prompted choppy trading in the stock and currency markets, and pushed U.S. Treasury yields up. The FOMC minutes contained elements that could be deemed as both hawkish and dovish on U.S. monetary policy.
The key outside markets on Thursday morning see the U.S. dollar index slightly up. Meantime, Nymex crude oil prices are weaker and trading just above $61.00 a barrel. Oil traders are awaiting today’s weekly U.S. oil stocks report.
World Markets Await FOMC Minutes Release Wed. Afternoon
Wednesday, February 21–Jim Wyckoff’s Morning Markets Report
OVERNIGHT DEVELOPMENTS
Global stock markets were mostly lower overnight. U.S. stock indexes are pointed toward slightly lower openings when the New York day session begins. Volatility in the U.S. stock market picked up Tuesday, and traders are wondering if such will continue today.
The highlight of the trading week will be the release today of the minutes of the last FOMC meeting of the Federal Reserve. The minutes are due out at 2:00 p.m. eastern time. Past FOMC minutes releases have been markets-movers. Keep in mind the last FOMC meeting occurred before the big increase in volatility in the stock markets.
Grain Market Bulls Coming Back to Life
It’s been quite some time since all three major grain futures markets have been in near-term price uptrends, but such is the case at present. After being beaten down for months, corn, soybeans and wheat bulls are enjoying success. I look for the grain markets to continue to work sideways to higher until at least mid-summer, with weather market scares having the potential to really spike prices. Already early this year, dry and hot weather in Argentina has worked to boost corn and soybean futures prices. Stay tuned!
U.S. Stocks Set to Open the Week Lower Tuesday
Tuesday, February 20–Jim Wyckoff’s Morning Markets Report
OVERNIGHT DEVELOPMENTS
Global stock markets were mostly lower overnight. U.S. stock indexes are pointed toward solidly lower openings when the New York day session begins. U.S. and China markets were closed Monday for holidays. Rising world government bond yields are prompting more selling pressure in equities early this week. Tuesday is setting up to be another volatile day in the U.S. stock market.
Gold prices are solidly lower early today. Bitcoin prices are sharply higher today and are continuing a solid rebound from the recent low.
U.S. Stock Market Bulls Having a Good Week
Friday, February 16–Jim Wyckoff’s Morning Markets Report
OVERNIGHT DEVELOPMENTS
Global stock markets were mostly higher overnight. U.S. stock indexes are pointed toward firmer openings when the New York day session begins. The U.S. stock indexes have now regained all or most of last week’s strong losses.
China and other Asian markets were closed Friday for the Lunar New Year holiday.
The key outside markets on Friday morning see the U.S. dollar index firmer on a tepid rebound from this week’s strong selling pressure. Meantime, Nymex crude oil prices are near steady and trading around $61.50 a barrel.