Friday, 5 February 2016

Pre-Market Brief

Good morning US equity futures are a touch lower (ahead of the jobs data), sp -2pts, we're set to open at sp'1913. USD is bouncing, +0.2% in the DXY 96.60s. Metals continue to climb, Gold +$2. Oil is +0.7% in the $32s.



So... market remains in churn mode.. ahead of the jobs data... lets see what the BLS deliver.

Broadly, the sp'1960/80 zone looks on track for next week. Yellen will be a real threat to those currently short... any upside spike next Wed/Thursday would make for a rather natural time/level to short.

early movers...

LNKD -30%... as Mr Market continues to operate a no tolerance policy for companies that miss on earnings.... or worse... those that lower their outlook.

SDLR +10%, but then... 10% of $2.00 still doesn't negate the horror since summer 2014.

Update from Mr C.


Overnight action

Japan: broadly bearish, -1.3% @ 16819

China: -0.6% @ 2763. The Chinese markets are CLOSED for the entirety of next week, with 'Monkey year' beginning next Monday.

Germany: currently u/c around 9392.

Have a good Friday

*awaiting the jobs data.....................

8.31am: net job gains: 151k    headline jobless rate:  4.9%

Clearly, net gains were pretty weak.... in some ways, equity bulls could almost argue its borderline Goldilocks, as it rules out a rate hike, but is neither apocalyptic.

Equities:  initial drop, sp -10pts... 1905.

... currently -6... 1909

notable 'relative weakness'  TVIX +2.0%.. .  which is weak considering equities.

Indexes look highly prone to reversing higher this afternoon.

8.45am... sp' -7pts... 1908...    there is pretty strong support in the 1900/1890 zone.

We're still set for renewed upside.

Again.... those watching the VIX ETN of TVIX should notice its almost turning negative... and entirely suggestive the market will rally later today.