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Banks Enjoy Brainard Bounce

EQUITIES
  • Financials and banks rallied sharply at the open, with Wall Street welcoming news that Brainard had been elevated to Vice Chair at the Fed, but not put in the separate role of supervision.
  • Brainard had been seen as being more aggressive on bank regulation, helping prompt a decent rally across Wells Fargo, Morgan Stanley, JPMorgan shares and others.
  • The e-mini S&P lurched higher on Powell's confirmation as being nominated for a second term, rising to touch 4740.50 - a fresh alltime high. The focus is on 4747.68 next, a Fibonacci projection. Trend signals such as moving average studies are in a bull mode set-up and corrections remain shallow, reinforcing the bullish theme.
  • European markets were more mixed, with the EuroStoxx50 and DAX indices finishing in minor negative territory.

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