E-Minis Stabilise Around 4,200, Even As Tsys Cheapen & Lowe’s Disappoints

E-mini S&P 500 futures stabilise around the 4,200 mark for now, even as Tsy yields tick higher in light of the previously outlined filing from Deere re: medium-term note issuance.

• It will be interesting to see if the former can continue if the latter is sustained, particularly with debt ceiling-related rhetoric set to remain front and centre in the coming days (after President Biden flagged an agreement with House Speaker McCarthy re: avoiding a default, albeit with notable movement towards a resolution lacking).
• The stabilisation in e-minis comes even as Lowe’s cut its FY outlook and missed on Q1 sales (although it beat on EPS), which has nudged the name ~1% lower pre-market.
• Technically, we have noted that the S&P 500 e-mini contract’s trend needle continues to point north, although bulls need to force a break of last week’s high (4,227.25) to establish more dominant control and switch focus to key resistance levels.