STATE OF THE MARKETS
Taper talks buoyed Dollar. US S&P 500 (+0.18%) made an all time record high while Nasdaq (+0.74%) made a second attempt to break it’s all time high on Monday as markets expect Feds to stay put this week. On the other hand, blue chip Dow (-0.25%) and small cap Russell (-0.41%) closed lower as investors continue on profit taking ahead of FOMC. Bonds were of less demand as the 10Y benchmark yielded higher, back at 1.50%, but Feds taper talks have buoyed Dollar (DXY) above the 90 mark for the past two weeks.
Crude futures were at a brink of offers as EIA reported that shale oil is expected to add 7.8 million barrels of supplies this July. The black gold settled above $71/bl after hitting as high as $71.78/bl before New York closed. Taper talks sent gold to as low as $1,844.57/oz before bids emerged and settled around $1,866/oz.
In the FX space, King Dollar sustained a firm bid across the board ahead of the FOMC decision this Wednesday, while sending the comdolls on offers. Euro and Sterling have been in a tug of war for 4 weeks now. Yen and Swiss went back on offers in the short term, while medium and long term saw more Swiss demand than Yen.
G8 CURRENCIES SENTIMENTS
** ST refers to Short-Term daily turnover, MT is Medium Term weekly
and LT refers to Long-Term monthly turnover.
WALL ST MOST ACTIVE
|VOLUME||90 DAYS AVG|
** % Change here refer to price
WALL ST TOP FLOWS
|% CHANGE||FUNDS FLOW $|
** % change here refers to volume
TOP 5 BLOCK ORDERS
|SYMBOL||PRICE / STRIKE||TYPE||VOL/OI||FUNDS FLOW $|
|INTC||58.19 / 62.00||stock options/call||263.97||1,267.6M|
|CRSR||36.00 / 42.50||stock options/call||124.51||2,357.4M|
|ZF||123.3025||US bond futures||5,450||67,199.9M|
|CL||70.60 – 71.50||crude oil futures||680||48.2M|
OUR PICK – AUD/NZD
Re-enter as shorts remain valid. Recent rally in AUD/NZD was mere short covering as Aussie bonds yields have become less attractive and remain inferior to Kiwi. We re-entered shorts with new stops and targets.
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