By Alan Bush | Senior Financial Economist at ADMIS
Stock index futures are higher due to reports that there is a slowdown in the number of new coronavirus cases in China. S&P 500 and NASDAQ futures reached record highs.
The National Federation of Independent Business small business optimism index was 104.3 when 103.2 was expected.
The 9:00 central time December Job Openings and Labor Turnover Survey (JOLTS) is anticipated to show 6.775 million.
Federal Reserve Chairman Jerome Powell will testify in front of the House Financial Services Committee at 9:00, as part of the semi-annual monetary policy testimony where he could deliver clues on the direction of interest rates and his outlook for the economy.
My outlook remains unchanged in that stock index futures will end up higher in the first quarter.
The U.S. dollar advanced to a new four month high. Recent strength in the greenback is linked to the belief that the Federal Reserve will be less aggressive in adding more accommodation to the banking system than other major central banks.
The British pound is higher, as data showed the nation's economy grew more than expected on the year in the fourth quarter.
The Office for National Statistics said U.K. gross domestic product increased 1.1% year-on-year, which is up from expectations of 0.8% growth. Monthly gross domestic product rose 0.3%, which offset the 0.3% decline in November.
The Canadian dollar and the Australian dollar are higher, as a result of firming crude oil prices.
Flight to quality longs are being liquidated due to easing coronavirus concerns.
In addition to Fed Chair Powell, other Federal Reserve speakers today are Randal Quarles at 11:15, James Bullard at 12:30 and Neel Kashkari at 1:15.
In light of the negative impact of the coronavirus on global economic growth, major central banks will come under pressure to add more accommodation.
Based on financial futures markets, currently there is a 68% probability that the Federal Open Market Committee will lower its fed funds rate at its September 16, 2020 policy meeting. Yesterday the probability was 71%.
March 20 S&P 500
Support 3347.00 Resistance 3373.00
March 20 U.S. Dollar Index
Support 98.630 Resistance 98.920
March 20 Euro Currency
Support 1.09080 Resistance 1.09480
March 20 Japanese Yen
Support .91050 Resistance .91350
March 20 Canadian Dollar
Support .75050 Resistance .75330
March 20 Australian Dollar
Support .6680 Resistance .6734
March 20 Thirty Year Treasury Bonds
Support 162^4 Resistance 162^28
April 20 Gold
Support 1569.0 Resistance 1584.0
March 20 Crude Oil
Support 49.50 Resistance 50.98
March 20 Copper
Support 2.5550 Resistance 2.5950
For more information about these markets, please contact Alan at 312.242.7911 or via email at email@example.com. Thank you.
Would you like to open an account with us? Go to our interactive New Account application at Open an Account. It is fast, saves on postage and it’s green.
Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. The risk of loss in trading futures and options can be substantial. The views and opinions expressed in this letter are those of the author and do not reflect the views of ADM Investor Services, Inc. or its staff. Research analyst does not currently maintain positions in the commodities specified within this report. The information provided is designed to assist in your analysis and evaluation of the futures and options markets. However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright © ADM Investor Services, Inc.
Contact Us Today
Get free guides and special offers in the Resource Center.
© 2018 Archer Financial Services, Inc.
This is not a solicitation of any order to buy or sell, but merely a collection of information related to Archer Financial services and commodities trading provided by Archer Financial services. Any statement of facts herein contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor do they purport to be complete. No responsibility is assumed with respect to any such element, nor with respect to any expression of opinion herein contained.
The risk of loss in trading futures and options on futures can be substantial. Each investor must carefully consider whether this type of investment is appropriate for them. Past performance is not necessarily indicative of future results.