Rising Yields Continue to Put Pressure on Stock Indices

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Treasuries hit new 52 week highs off of the strongest initial jobless claims number since march. Yields are off of their highs, and stocks are trying to enter positive territory.

TRANSCRIPT
Good afternoon traders. It’s Chris Chavez with blue line futures and it’s your daily midday market minute. Treasury yields continue to rally, putting pressure on stock indices. But before we get to it, if you’re watching this video like it, subscribe if you’re on our website. There’s also a link to direct you to YouTube and you can subscribe that way.
We’d love for you to follow us. We’d love for you to help us build our following. Yeah. Looking at Treasury yields here today, we’re just continuing to hit new 52 week highs. Got some stronger than expected jobless claims data. Existing home sales, surprised to the upside. Saw a little bit of weakness in the Philly Fed manufacturing index. But despite the strength that we’re continuing to see, yields are just off of their highs.
We hit new 52 week highs and we’re coming down a little bit, seeing a little bit of relief in the bond market here. And stock indices are trying to enter positive territory. So we do have Fed Chair Powell speaking here today at 11 Central Standard Time. That’s about at this time right now, me making this video. So we’re going to get Fed Chair Powell.
We’re going to get other Fed members speaking so we could see some volatility in the markets right now, looking at the CME Fed watch tool, despite this strong economic data, still a 96% probability of a pause at the November Fed meeting. Again, probably just because yields in the bond market have done the Fed’s job for them, you’re continuing to see higher yields and maybe the Fed will not need to raise at all.
At least that’s what the market is currently pricing in that that there is a just about certainty that they’re not going to raise. So we’ll see what Fed Chair Powell says some of these other Fed members say today, looking at some of these support and resistance levels. S&P three star resistance is going to be 43, 62 and a quarter to 43, 65 and three quarters.
Nasdaq three star resistance is going to be 15 157 to 15, 173. A break and close below any of these levels think there’s a little bit more staying power, some more bullish momentum to the upside. Crude oil, three star resistance. There’s not a really big catalyst right now. So we’re going to want to see some fundamentals to move us higher.
Nasdaq three star resistance is going to be 15 157 to 15, 173. A break and close below any of these levels think there’s a little bit more staying power, some more bullish momentum to the upside. Crude oil, three star resistance. There’s not a really big catalyst right now. So we’re going to want to see some fundamentals to move us higher.
But 87, 44 to 87, 79, it’s going to be a three hour resistance level to keep an eye on. And gold major for star resistance is 1960, 1967 and a 10th to 1976 and 6/10. If you have any questions, reach out to our Trade Desk. We’re here for you. Remember, futures trading involves substantial risk of loss is not suitable for all investors.
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Futures trading involves substantial risk of loss and may not be suitable for all investors. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. Trading advice is based on information taken from trade and statistical services and other sources Blue Line Futures, LLC believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades. All trading decisions will be made by the account holder. Past performance is not necessarily indicative of future results.

Blue Line Futures is a member of NFA and is subject to NFA’s regulatory oversight and examinations. However, you should be aware that the NFA does not have regulatory oversight authority over underlying or spot virtual currency products or transactions or virtual currency exchanges, custodians or markets. Therefore, carefully consider whether such trading is suitable for you considering your financial condition.

With Cyber-attacks on the rise, attacking firms in the healthcare, financial, energy and other state and global sectors, Blue Line Futures wants you to be safe! Blue Line Futures will never contact you via a third party application. Blue Line Futures employees use only firm authorized email addresses and phone numbers. If you are contacted by any person and want to confirm identity please reach out to us at info@bluelinefutures.com or call us at 312- 278-0500


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