Stocks May Fall On Hard To Find "Trade Tensions" Headlines Or Not

US Markets

  • S&P 500 Futures -29 points
  • 10-Years 2.35%
  • Oil $60.43
  • VIX 16.67
  • Dollar Index 98.21

International Markets

  • Japan Nikkei -0.62%
  • Shanghai -1.36%
  • Hong Kong HSI -1.58%
  • South Korea -0.26%
  • Germany Dax -1.84%
  • UK FTSE -1.33%

Trade war, trade war. It’s old; nothing has changed. It took me a good 20 minutes to figure out exactly what was even said that is causing these “tensions” on May 23. It seems the China commerce ministry made some comments regarding the US correcting its “wrong actions first” before there could be further negotiations. We are stuck in the “trade war” nonsense for some time longer. How much longer until the G20?

The setup going into today is certainly not what I expected based on the direction of the pre-market and global markets. So while today has the potential to be one of those days that feel bad, when we take a step back and look around the globe, the markets are doing nothing more than marking time.

Korea

As we can see, the South Korean KOSPI appears to be “attempting” to bottom out.

sourth korea, stock , may 23

Shanghai

The Shanghai Composite looks nearly the same.

shanghai, comp

Germany

The Germany DAX?  Same. Except remember today across Europe are parliamentary elections. Believe it or not there other things that are happening in the world. Throw in some weak PMI and you get a down day in Europe. No matter, blame it on trade tensions, it sounds better and makes for scary headlines. Although PMI’s and election uncertainty may have more actually do with it.

dax

So despite all of the “trade tensions,” daily nothing has changed, and the market has gone nowhere.

S&P 500 (SPY)

When we look at the SPY chart, we can see that the S&P 500 is set to open below the uptrend and that doesn’t look like a good thing. I was expecting “something” to happen today, but my expectations were for the market to rise. As of now, we need to deal with the prospect of the market going lower. Unfortunately, we now need to see how the day plays out and where the S&P 500 closes.

1 2
View single page >> |

Disclosure: Michael Kramer and the clients of Mott Capital own AAPL

Disclaimer: This article is my opinion and expresses my views. Those views can change at a moment's notice when the market ...

more
How did you like this article? Let us know so we can better customize your reading experience. Users' ratings are only visible to themselves.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.