Stocks struggled even though yields barely changed yesterday – financials were responsible even though market breadth was a mixed picture. The dollar though turned sharply lower, and keeps a lid on pretty much everything apart from the precious metals (the turn to bullish is here as I told you last week would happen).
With the upcoming data – flash manufacturing and services PMIs – stocks won‘t get enough acceleration hopes fuel, but it wouldn‘t yet disprove the soft landing thesis either. Therefore when assessing the big picture, I would listen to the shrinking liquidity demonstrated by crypto downswing and USD upswing, coupled with the tired NVDA upswing that I‘m discussing in the stock market section. If a more meaningful reprieve than the intraday SPY ups and downs is to come, it could follow after Powell‘s pronouncements only.
This post has been upgraded to a full article here.
Comments
Log in or sign up to join the conversation.