"The futures are trading higher on Tuesday after a strong start to the week on Wall Street. Traders were buoyed by positive news on the potential for a trade agreement with China and the potential resolution of the TikTok issue. With Wall Street ready for a deluge of earnings this week, the most important of which come from technology giants in the Magnificent 7, it may remain a task for the momentum-driven rally to keep moving higher. Still, with strong retail participation and new money pouring into the market from overseas, the run to 7000 on the S&P 500 is on and humming."
"West Texas Intermediate and Brent Crude both started the week slightly lower after last week's rally that pushed WTI back above the $60 mark after it had fallen to a level not seen since 2021. Energy analysts have flagged OPEC+ production increases as the main reason for the recent dislocation in pricing. With gasoline prices dropping nationwide, some Wall Street analysts expect demand to jump as we head toward the holidays. Natural Gas was the star of the day, up over 4% to close at $3.44."
"Gold was a big story Monday and last week, and spot prices fell below $4,000 per ounce Monday after a massive rally had lifted the precious metal to more all-time highs. Analysts cited improved risk appetite and significant profit-taking in Gold. Some feel that a correction in Gold could last for months after the long rally, but Central Bank buying may be the support that puts a lid on massive liquidations. Some are still calling for $5000 for Gold and $60 for Silver. The bullion is down another 1.5% this morning."
Equity futures moved higher Tuesday following strong early-week gains driven by optimism over a potential China trade agreement and a possible resolution of the TikTok issue. Momentum faces a test as a heavy slate of earnings, led by the Magnificent 7 technology firms, arrives this week. Treasury yields were mixed, with shorter maturities lower and some buying in longer bonds as markets priced in a near-certain 25-basis-point cut. Oil started the week slightly lower after last week’s rally, natural gas jumped over 4%, and gold pulled back below $4,000 amid profit-taking and improved risk appetite.
Read at 24/7 Wall St.
Unable to calculate read time
Collection
[
|
...
]