Morning 10-1

 Yesterday saw the Biggest daily range in 10 years since September 3rd the Average true range or ATR for 10 years yields are .031% and continues to trend lower.

Layoffs, just reported by Challenger and Grey  had this to say (Bloomberg) — 118,804 job cuts in Sept.; 2,082,262 year-to-date
* Majority of cuts continue to come from entertainment and
leisure companies, including bars, restaurants, hotels, and
amusement parks, which announced 32,099 reductions in Sept., a
2,691% increase over the 1,150 entertainment/leisure cuts
measured in Sept. 2019
* Aerospace/defense sector announced second-highest number of
cuts in Sept., with 18,971, bringing year-to-date total to
74,867
* “We are beginning to see cuts spread to sectors outside
Entertainment and Retail,” Andrew Challenger, firm’s senior vice
president, said in statement. “Especially if another relief
package fails to pass, employers are going to enter the fourth hesitant to invest or spend” (And that last phrase is key  for the Economy moving forward)

No worries for stocks though as optimism once again on the rise regarding a new stimulus deal especially for airlines as rumors floating that a new $20B in federal aid could be forthcoming. Dems at $2.2T republicans at 1.6T talks ongoing, Stocks like the optimism, Dollar down but not all commodities trading higher. Oil, Copper and palladium lower on day, base metals lower but precious higher divergence driven by Economic worries?

 Speaking of Divergence Dax sideways to heavy Bayer Chemical weighs on sentiment after company lowered guidance, announced job cuts and indicated more impairment charges. Stock down 10.5%. A reminder EZ cpi tomorrow morning will be watched closely. Euro +.3% vs dollar and firm against JPY. Another European bourse higher as Cac +.9% Mib +.8%. FYI October one of the best months of the year for stocks

News:

  • Tokyo Stock Exchange: Stopped trading due to a systems issue, trading was halted today for first time ever; Exchange will try & resume stock trading Friday
  • Moderna CEO(FT): If the vaccine is proved to be safe/ effective, approval is unlikely before at least late Mar/early Apr next yr; the firm won’t seek FDA approval for use in general population until late Jan; won’t seek emergency FDA approval for vaccine use with front line medical workers & at risk people until Nov 25 at earliest

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