US stocks are stabilizing this morning with index futures up 0.1%-0.3% as they try to claw back some of yesterday’s US index losses of 1.0%-1.2%. Over in Europe, trading is mixed with the Dax down 0.4% and the FTSE up 0.6%.
The weakness of the last few days appears to be related to a combination of light volumes, tax loss selling, US Dollar strength and mixed economic data. Yesterday’s Chicago PMI report was disappointing (36.9 vs street 42.5). Today China Non-Manufacturing PMI beat expectations (52.2 vs street 50.2), while Manufacturing PMI (50.1 vs street 50.3) disappointed slightly. Manufacturing PMI reports from around the world roll out over Thursday and Friday.
The US Dollar has eased back slightly today enabling other currencies to post gains which include 0.7% for Bitcoin, 0.1% for Gold, and 0.2% for the Loonie, Euro and Pound. The US 10-year treasury note yield is holding steady just above 4.50%.
Commodities are dropping back this morning, Natural Gas is down 3.0% as it consolidates yesterday’s big rally. Copper is down 1.4% while Crude Oil is flat.
SIA Wealth In The Media:
Chief Market Strategist Colin Cieszynski appeared on BNN Bloomberg recently where he spoke about energy prices and sector rotation. Outlook for oil amid geopolitical risks