Markets are aggressively beginning to price in at least two cuts in fed funds this year. It is a little too early, but the Fed is beginning to come around to this dovish scenario. It is easy to get convinced … Continued
Bulls last week defended support at 2600-2630 on the S&P 500, which has rallied massively since bottoming on December 26. Daily conditions are deeply overbought, pricing in a dovish Fed. A two-day FOMC meeting begins Tuesday. A ‘buy the rumor, … Continued
Since the intraday low on Boxing Day, SPY is up nearly 11 percent. Too far, too fast? Possibly, as the ETF is just a hair breadth away from support-turned-resistance at 260, which it lost mid-December. The Fed has a dual … Continued
Following futures positions of non-commercials are as of January 2, 2018. 10-year note: Currently net short 75.8k, down 7.8k. It is on. Doves versus hawks. At least for now. FOMC minutes for the December 12-13 meeting highlighted the growing tension … Continued