Better then Expected Economic data;trade balance,Non manufacturing ISM and with revisions JOLTs was solid as well Risk further rallied on this but ran into an old friend, Negative China trade tweet ” China needs firmer US commitments on lifting tariffs if Trump wants to seal a trade deal “- SCMP which moved Spoos down to session lows. Treasuries have touched Yield resistance in both 10s( 1.85% then 1.90%) and 30s(2.35%-2.38%) which is likely to slow but not stop the inevitable break of these levels.As I type none of the Fed meetings out to July 2020 have a greater then 40% probability of a rate cut.
Gold -1.75% trading down to the bottom of the range/support area of 1480-1483 a break here targets $1465. Silver -2.7% and on the Risk Side Copper +1% trading at late Summer levels.reflation trade trying to continue,one quick way to confirm reflation is the positive correlation between U.S. yields and Spoos continuing? Crude Oil +1.2% working on third consecutive higher close,Ignore the bearish OPEC comments and Focus On the bullish is helping the price appreciate.Mid Day weather forecast just completed and weather looks just as cold if not colder vs 12 hour ago Forecast helping nat GAs maintain her gains