(The Weekly Digest reproduces the morning capsules made available every morning before the market open in the Real Time Feeds to the paying subscribers.)
DOUBLE WHAMMY OF NUCLEAR MISSILES AND SHOCKING EMPLOYMENT DATA
April 5, 2013
North Korea is escalating the situation as it threatens nuclear war. Embassies in its capital Pyongyang have reportedly been asked to evacuate.
Employment data this morning was shocking. Nonfarm Private Payrolls came at 95K vs. consensus of 210K. Expect the stock market to go down at least in the morning.
Gold futures are at $1565, silver futures are at $27.11, and oil futures are $92.70.
S&P 500 resistance levels are 1550, 1558, and 1565; support levels are 1530, 1517, and 1500.
DJIA futures are down 140 points.
KURODA’S SEISMIC ANNOUNCEMENT ENCOURAGES STOCK MARKETS ALL OVER THE WORLD, GOLD FALLS
April 4, 2013
Haruhiko Kuroda, the new governor of the Bank of Japan (BOJ) made a seismic announcement to double Japan’s monetary base from 135 trillion yen to 270 trillion yen by March 2015. Markets are encouraged all over the world. Interestingly an actual earthquake occurred at the time of the announcement.
In the meanwhile, our leading economic indicators for the U. S. are deteriorating.
Initial Unemployment Claims came at 385K vs. consensus of 345K.
Gold falls below $1550.
DJIA futures are up 14 points.
NEW DATA WARRANTS CAUTION
April 3, 2013
This morning, ADP employment change came at 158K vs. 197K consensus. Of course the big number ahead is this Friday from the U. S. Department of Labor about the change in non-farm private payrolls for March.
We are seeing a lot of concern about U. S. growth overseas this morning but not in the United States its self.
The plan continues to not be aggressive and engage cautiously in select buying, shorting, and profit taking.
Gold futures are at $1571, silver futures are at $27.19, and oil futures are $96.55.
S&P 500 resistance levels are 1570, 1575, and 1600; support levels are 1558, 1550, and 1537.
DJIA futures are down 5 points.
STOCK MARKETS ENCOURAGED BY UNEMPLOYMENT HITTING ALL TIME HIGH IN EUROPE
April 2, 2013
It seems perverse that stock markets are encouraged by unemployment in Europe hitting an all time high, but that is how markets work. Markets move based on the difference between whisper numbers and actual numbers. The data from Europe overnight illustrates the point.
The unemployment rate in eurozone hit an all time high of 12%, but this was in line with consensus and lower than whisper numbers.
Manufacturing PMI came at 46.8, slightly better than the consensus of 46.6.
Stock markets in Europe are strong. The U. S. market is taking its cue from Europe and is likely to go higher, at least in the morning.
Gold and silver are falling because the economy is getting better.
Gold futures are at $1584, silver futures are at $27.70, and oil futures are $96.54.
S&P 500 resistance levels are 1565, 1570, and 1575; support levels are 1558, 1550, and 1537.
DJIA futures are up 56 points.
QUIET POST EASTER MORNING IN THE U. S., CHINA HITS LOWEST LEVEL IN 2013, AND SILVER FALLS
April 1, 2013
Post Easter, it is a quiet morning in the U. S. markets.
European markets are closed for Easter Monday, so is Hong Kong.
Shanghai composite hit its lowest level of 2013 after disappointing data. Manufacturing PMI came at 50.9 vs. consensus of 51.6.
Japan has been one of the strongest markets of 2013. Nikkei fell by 2.1% on disappointing data. Tankan Manufacturing Index came at -8 vs. consensus of -7 and Tankan Non-Manufacturing Index came at 6 vs. consensus of 8.
Silver breaks the $28 mark.
Gold futures are at $1597, silver futures are at $27.96, and oil futures are $96.19.
S&P 500 resistance levels are 1565, 1570, and 1575; support levels are 1558, 1550, and 1537.
DJIA futures are down 1 points.
