Pre-market gains of sp +21pts to 2010 largely vapourised as Draghi suggested no more rate cuts (at least in the short term). Price action is a real mess, but cyclically, the pressure remains leaning to the upside, with a daily close above the sp'2K threshold still viable. USD has notably swung from +1.2% to -0.1% in the DXY 97.10s.
It was all going very well for the equity market.. as amongst a number of measures, ECB paper printing was spooled up to €80bn a month.
.. Yet Draghi has really spooked the FOREX market, as 'no more rate cuts' send the Euro rebounding... and that has naturally pressured equities.
Today is one of those days when underlying (equity) price pressure is what will likely be key... and for the moment.. that is still leaning to the upside.
As things stand... I'm still looking for further upside into the next FOMC.... to the sp'2020/40 zone.
re: Gold, GLD, daily2
Gold was -$11 in pre-market.. but with the Euro rebounding.. and USD cooling, we're seeing a rather powerful spike floor. For the moment, I still don't see a new cycle high this side of the FOMC.
time to shop... back soon