Plenty of action today but direction lacking.Spoos have been up ,down sideways but still only have 7 handle range.Bonds were sideways /heavy but a strong 7 year auction was enough to see buying come into the complex. Remember previous auctions this week were bad.Crude oil caught an early bid on issues in the North sea and haven’t looked back.Waiting to see if crude closes above Yesterday’s highs $53.47.( which it has)
China is on holiday for one week and it may have been the reason why base metals puked just after 10:00 this morning.Copper,Lead and zinc all flushed lower without an apparent reason.Next week will be slow for Any China related products,base metals sits at top of that list. Possibly some position squaring or profit taking before the quiet week.Copper dropped by 1.75% in 10 minutes and Zinc by 1.7%.A crazy move indeed.
Trying to place a theme on today’s trade is somewhat elusive as both stocks,bonds and dollar higher.I believe markets still waiting for Facts from trump so this churn,chop higher spoos trade to continue.