Futures Sink as Russia's SWF Ditches the Dollar
Global futures are experiencing some weakness this morning after yesterday's rollercoaster ride saw us rise persistently in the morning session, only to be hammered from noon until around 2PM, to then be panic bid into the close once again. The Dow is trading down -0.51% to 34,412, the S&P is down -0.62% to 4,180.38, the Nasdaq is down -0.88% to 13,553, and the Russell is down -0.81% to 2,278.25.
Headlines are circling the financial media this morning after Russia released a statement that they'll be cutting the dollar from their sovereign wealth fund, replacing it with other core SDR fiats (Euro, Yuan), as well as gold.
Vix is seeing a notable bid off the week's low's and is back at 18.8 resistance and up just under 12% on the day. We need to recapture the 21 level for another potential test of the descending trendline around 28.
The Dollar (DXY) has recaptured 90 support, and is currently sitting at 90.24 as of 9AM. Clearly we're seeing liquidation across asset classes. But, the dollar gains never stick for long these days.
Bitcoin (BTCUSD) is up over 4% on the day and sitting just under 40,000, while Gold is off the recent high's and trading back at 1,881. No major moves in the bond market to speak of as the US10Y yield drifts sideways at 1.60%.
As far as memes go, AMC is tanking back to a 59 handle after hitting a high of 72.62 yesterday. Holy shit, we closed up 95% on the day. I've never seen anything like it. The company is a hollow zombie with too much debt on the books. Cinemas are closed, and who knows what their future revenue will look like. But, that doesn't stop the army of retail traders who are throwing every dollar they can at the highest beta stocks they can find.
GME had a nice breakout of the triangle a couple weeks ago, and is up 27% on the week. We could be looking at a similar scenario to AMC unfolding, which potentially provides an opportunity to short these pieces of garbage back to unch at the first sign of a shift in sentiment.
Economic Data:
Finally, Jobless claims came in at 385k vs the 395k expected, and continuing claims rose to 3.771MM vs the 3.642MM expected. The ADP employment change rose by 978k vs the 675k expected, however the real headline here is that over 15 Million American's are still on some form of government employment benefits. We'll see the ISM Non-Manufacturing Index for May at 10AM, and Crude Inventories at 11AM.
Our live anaysis begins at 9:30AM.
* I am/ we are currently holding positions in UVXY, HUV.
Headlines are circling the financial media this morning after Russia released a statement that they'll be cutting the dollar from their sovereign wealth fund, replacing it with other core SDR fiats (Euro, Yuan), as well as gold.
Vix is seeing a notable bid off the week's low's and is back at 18.8 resistance and up just under 12% on the day. We need to recapture the 21 level for another potential test of the descending trendline around 28.
The Dollar (DXY) has recaptured 90 support, and is currently sitting at 90.24 as of 9AM. Clearly we're seeing liquidation across asset classes. But, the dollar gains never stick for long these days.
Bitcoin (BTCUSD) is up over 4% on the day and sitting just under 40,000, while Gold is off the recent high's and trading back at 1,881. No major moves in the bond market to speak of as the US10Y yield drifts sideways at 1.60%.
As far as memes go, AMC is tanking back to a 59 handle after hitting a high of 72.62 yesterday. Holy shit, we closed up 95% on the day. I've never seen anything like it. The company is a hollow zombie with too much debt on the books. Cinemas are closed, and who knows what their future revenue will look like. But, that doesn't stop the army of retail traders who are throwing every dollar they can at the highest beta stocks they can find.
GME had a nice breakout of the triangle a couple weeks ago, and is up 27% on the week. We could be looking at a similar scenario to AMC unfolding, which potentially provides an opportunity to short these pieces of garbage back to unch at the first sign of a shift in sentiment.
Economic Data:
Finally, Jobless claims came in at 385k vs the 395k expected, and continuing claims rose to 3.771MM vs the 3.642MM expected. The ADP employment change rose by 978k vs the 675k expected, however the real headline here is that over 15 Million American's are still on some form of government employment benefits. We'll see the ISM Non-Manufacturing Index for May at 10AM, and Crude Inventories at 11AM.
Our live anaysis begins at 9:30AM.
* I am/ we are currently holding positions in UVXY, HUV.
