On Friday SPX settled flat at +0.01% and 3168.80 after a rally on phase one trade deal talk. The main takeaway is that tariffs that were supposed to into effect a few minutes ago have been called off.
ES closed at 3175 and stayed over the previous balance area after the cash open at Thursday's point of control or 3169. The volume point of control for Friday is 3172.75 and most time was spent at 3173.25. This leaves indecisive looking candles on the SPX and Dow daily charts. You can see how the ES profile has a bit more shape and a long single print run to the high of 3186.75 on the initial balance. Initial cash session points of contention (on weakness below 3180) would be SPX 3165 and 3155.
Friday's NYSE internals were neutral to moderately weak from the open with A-D lines spending much of the session below the zero line and finishing at +103 and NYSE breadth at -1.38:1. NASD breadth closed at -1.07:1.
US Treasuries got a bid on Friday and bucked the recent selling pressure with yields declining by 7 to 8 bps along the curve. The 2-year yield was down -7 bps to 1.60%, the 10-year -8 bps to 1.82% while the 30-year bond ended the cash session at -7 bps and yields 2.25%. The USD index is still well below its 200 day moving average but got a bump too and February gold held up anyway at just under the halfway retrace again and 1480.30 an ounce after settlement.
Economic data for Monday is light with Empire State Manufacturing before the bell. Hi impact economic Data starts with Housing Starts and Building Permits on Tuesday followed by Existing Home Sales on Thursday and Personal Income and Spending as well as PCI Price Index and Core PCI Price Index reports for November on Friday.
Hey @Dazedandconfused, I knew you were very serious about the climate and I was not very clear, apologies. Yeah they are echoing your sentiment here @peejayhercules. We've incurred trade war damage and some say we're not better off than before the whole thing started. Some will say that resetting the status quo got us leverage while others think the phase one deal is a hasty and disingenuously presented side effect of the US administration's broader duress.Maybe if China starts buying agriculture again the administration will be able to stop compensating the farmers. No one has signed anything yet. In case you've not seen it, here is some dated but entertaining coverage last weekend's coverage of the NATO summit.
