NewsWare‘s Trade Talk

2/24 Trade Talk: Feds Vow to Support Economic Growth Puts Reflation Trade Back in Motion

Treasuries have dropped and equity futures are back in green as investors take confidence from the Federal Reserves vow to support economic growth. Reflation trade is back in motion with futures in small cap Russell 2000 Index beating the Nasdaq 100 in early trading. Tesla has added 3%, airlines and cruise operators have advanced and oil and copper see positive momentum.

 

Tune in to see what's moving Wednesday's market and where to trade to end up in green today.

NewsWare Trade Talk for Feb 23rd

Markets are showing signs of weakness ahead of Fed Chair Powell's testimony this morning.  On Thursday congressional hearings are scheduled to being on Big Tech.

2/22 Trade Talk: Some Worry Evoked as Bond Yields Rise and Stocks Slump

While reflation trade has been a bullish catalyst for stocks this year, that same reasoning has been under question this morning. Some worry for equity investors are about peak valuations, the effect of rising bond yields and when stimulus programs will end. 

 

Tune in to see what's moving Monday's market and where to trade to end up in green today.

2/19 Trade Talk: Focus Shifts to Corporate Earnings

Alongside the futures gains, the dollar has weakened today. And with the yield on the 10 year treasury benchmark settling back around 1.3%, the focus is turning to corporate earnings reports. Discussion on rising yields has been very pronounced this week, which has raised concerned the staying power of the New Year rally and whether a rise in borrowing cost and price pressures could derail the economic recovery.

Tune in to see what's moving Friday's market and where to trade to end up in green. 

2/18 Trade Talk: Will Higher Borrowing Costs Sap the Highest Rally in History?

Yields on 10 year treasuries climbed to 1.28%. Concern is growing across markets that higher borrowing costs could sap a rally that’s driven values to the highest they’ve ever been in history. Tech companies that derive much of their cash flows in the future are especially vulnerable to inflation pressures.

Tune in to see what's moving Thursday's market and where to trade to end up in green today. 

2/17 Trade Talk: Yields Slip from One Year High and Stocks Drop

S&P 500 Futures remain relatively flat today, while the yield on benchmark 10 year Treasuries dipped to around 1.29% after touching the highest since February 2020. Signals show that US treasuries are in for more wild gyrations after the three month implied volatility on 10 year swap rates jumped.

Tune in to see what's moving Wednesday's market and where to trade to end up in green. 

2/16 Trade Talk: Markets Face the Longest Run of Gains in 17 Years

The reflation trade is powering assets tied to economic growth and price pressure, including commodities and cyclical stocks. There’s also the fact that investors are basically riding on speculative euphoria across the market during a time of abundant policy support.

Tune in to see what's moving Tuesday's market and where to trade to end up in green today.

2/12 Trade Talk: Markets Now at a Pause Among Mixed Signals and a Lack of Fresh Catalysts

S&P Futures benchmark closed at an all time high yesterday before dipping as they are this morning. Treasuries are edging up. After touching records, markets are now at a pause among mixed signals and a lack of fresh catalysts.

 

Tune in to see what's moving Friday's market and where to trade to end up in green today. 

2/11 Trade Talk: After Wednesday's Consumer Price Index Report, Traders Take Subdued Stance

Contracts on the tech-heavy Nasdaq were up .5% while 10 year treasury yields held below 1.15%. After a sharp run up in equities at the start of February, along with data on Wednesday that showed the core consumer price index was unchanged last month, traders now seem to be taking a more subdued stance. Whether or not more US stimulus, the vaccine rollout and the government determination to kickstart growth will cause the American economy to overheat, remains to be debated.

 

Tune in to see what's moving Thursday's market and where to trade to end up in green today. 

2/10 Trade Talk: Will the Feds Let the Economy Run Hot Out of the Pandemic?

Markets continue to rise today in what has become an eight day winning streak in global stocks, pushed by the waves of positive corporate news, improving virus trends and US stimulus plans.

Tune in to see what's moving Wednesday's market and where to trade to end up in green.