E-Minis Flat Into Cash Open

U.S. e-mini futures are little changed vs. settlement as we head towards the cash open.

• An early London uptick has been reversed with yesterday’s best levels in the S&P 500 contract holding.
• A rally in bonds ran out of steam, while modest negative headwinds from China would have also helped cap gains.
• Lennar is indicated higher (+2.2%) on the back of a dividend increase and an upsizing of its share buyback programme.
• Duke Energy are indicated higher (+0.4%) on the back of a positive brokerage move.
• Our technical analyst notes that S&P 500 e-minis have recovered from last Friday’s low. Support at the 20-day EMA (4,754.67) has recently been pierced. A clear break of this average would strengthen a short-term bearish threat and open the lower band of a MA envelope (4,694.47). A move through this support would expose the 50-day EMA (4,661.92). Key resistance and the bull trigger is at 4841.50, the Dec 28 high. Clearance of this level would resume the uptrend.
• Earnings season will become more active later in the week. Click for our preview of the major releases: https://roar-assets-auto.rbl.ms/files/59406/MNIUSEARNINGS080124.pdf