Written Commentary
STOCK INDEX FUTURES
After yesterday’s sharp decline futures are rebounding.
Treasury Secretary Steven Mnuchin yesterday said the government is weighing a second round of stimulus payments.
The 9:00 central time June consumer sentiment index is expected to be 75.
In recent weeks, U.S. stock index futures have shown a tendency to bounce back from bearish news.
CURRENCY FUTURES
The euro is higher on news that industrial production in the euro zone fell less than anticipated.
Euro zone April industrial output declined by 17.1% in the euro area when down 20% was estimated by economists.
The U.S. dollar appears to be bottoming and the euro currency appears to be topping.
Japan’s parliament passed a record 31.9 trillion yen ($298 billion) extra budget today in an effort to support the economy.
INTEREST RATE MARKET FUTURES
In light of the gains in stock index futures today, flight to quality longs are being liquidated.
Now that the bullish FOMC meeting is out of the way, futures are likely to drift lower from the highs that were make yesterday.
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