Please enable javascript in your browser to view this site!

Massive Roundtrip despite Uncertainty as S&P TNX recoup overnight losses

US equity futures well off overnight lows to the tune of nearly 3.5%, with S&P down "merely" 27 points vs over 100 as of Midnight last night-  Treasury yields have rocketed up from 1.74 last night a full 20 bps to 1.95, closing rapidly in on 2% with a dramatic steepening out in yield curves across the board.  Crude has recouped all its overnight losses and Gold has tempered gains and only up 2%.  Most of Asia closed way down, over 2% with NKY lower by over 5% and Yen rallying to the tune of 1%..  Overall, trend is down..  last night's break is still a NET NEGATIVE.. and tough to say futures should rally all the way back given that the market likely will face some real uncertainty in the near-term, and a real degree of shock to the establishment where last nights result is truly an upset.. But important to watch both USDJPY and TNX, and at least with regards to Treasuries.. Financials are likely to continue to strengthen given yield curve..and Healthcare, Metals stocks and Coal also bouncing in the premkt- This am's bounce from lows keeps the near-term Defensive until we see additional signs of fear.. or until S&P would recoup last nights highs at 2152.. which would be a real near-term positive.. Until then, we could see additional weakness over the next week into 11/13-15.. so selectivity continues to be key-  Wide range today for traders.. but 2078 will prove key.. and under invites a move down to retest lows.. while 2130 and then 2150-2 important on the upside-  Early movers today- AKS, X, CLF, FCX, CMC, LMT, MDCO, PRGO, ABBV, AGN, ENDP, MRK all positive with a number of biotech also extending gains-  CELG, AMGN, BIIB, REGN, GILD.  On the downside-  TRIP, KSU, GMED, GPRO, NTNX, STZ-  Let me know if you have questions