Wednesday, 3 February 2016

10am update - opening gains, but shaky

US equities open moderately higher, but look very vulnerable into tomorrow. More sustainable upside does not look viable until Friday. Oil is higher by around 2.0% , ahead of the latest EIA report.




*ISM serv': 53.2, broadly inline     PMI serv':53.5.... under consensus of 55s

So.. we're higher, but clearly, the gains are kinda bizarre considering overnight price action in Asia/Europe.

Best guess.... yesterday's low of sp'1897 will be marginally broken under, whether late today or tomorrow. From there, Friday offers better chance of renewed upside.. with the 1970s next week.

notable weakness...

Ford (F) -1.8%, TSLA -4.5%, GM -1.9%, notable sector anomaly.. RACE +5%.

BAC -2.4%...  comments from Kuroda are not helping financial stocks across the world.

time for a little sun, and to shop... back soon for the oil report.

10.36am.. Oil inventory surplus, 7.8 million, much like last week.

So.. equities to sp'1873... and it will soon be time for a turn.

I'd guess the retrace of the bounce from 1947 is about complete.