Missed some upside this morning (two favorite stocks FCX and MOS up 2-3%) but did not chase and still cautious as it looks like the Euro is failing to break out and drifting lower. Weak action considering it's at what I consider a pivot point. The reversal may be aggressive and I expect the market to follow. Also SPX up 1% but treasuries flat? Not a bullish sign.
Reasons for a possible Euro reversal:
- tepid growth in the GDP out of Europe yesterday decreases probability of further rate hikes
- PPI higher than expected could lend support to the dollar
No comments:
Post a Comment