Sideways markets

Spoos have a 7 handles range since 8:30  Cash open ,currently sitting   sit 2 Ticks off the highs.Energy related companies the worst performers  and utilities and real estate sector your best.Hmmmm..These sectors perform well when rate expectations move lower.BB telling us that “eurodollar calls richer then puts for first time since may” and “the 1m risk reversal went positive for first time in 5 months”.Less of a play for higher rates? or Month end adjustments? Rate hike probabilities for December little changed at 71%  subsequent months also show little change .Dollar is higher today  but stuck in the 98 handle.To really shake things up we need to  see the dollar challenge the 100 handle until then just noise.Too much event risk on horizon to get excited about today.

This  past weekend Europe “fell back” with her clock  so  european market will close an hour later  then normal.

Oil at a 1 month low.CFTC data did show a reduction in Net Longs  so some of  weakness can be explained by long liquidation.Today is the last day to trade November Rbob  and HO. Nat Gas continues to trade lower as weather forecast still are absent of any  lasting cold weather.

10’s  have an 8 tick range   30’s 13  ticks since option pits opened.

peso still trading  higher so  Clinton fall out over done?

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.