Good Morning. My apologies for a rather short post today but there is literally no economic news to report. I can’t even find a worthwhile Gallup poll to share today. Nothing, nada, zilch. There is an interesting interview with an economist which I titled “Gloom, Doom and Hope.” Yes hope and a way out of this economic mess before us.
There is no economic data of value being released. The only market moving news is a pre-market speech by Atlanta Fed President, Dennis Lockhart (two on the dove scale found here). But with equity markets sitting pennies (91 cents to be exact) from multi-year highs, does he even need to express the desire for additional accommodation? Markets have already done their own “accommodation” and it did not require a single penny to be printed.
The AUD/USD was able to close below the zone which is a bearish sign and further points to the probability of a trend reversal. The key level to hold on a close, but ideally on an intraday basis this session is 1.0475. Treasury futures are also trying to reverse the down trend. ZN (10 year futures) needs to close above 132.65 in the current session to increase its probability of a trend reversal.