Free Trial

Market Roundup: Headline Risk/ Headline Driver

US TSYS
Bit of risk-off right on NY open, Tsy futures making new highs (30YY falls to 2.2666%), equities reversed gains/trade weaker: SPX eminis -14.0 at 4360.5 and bounces back to 4373.0.
  • Moves coincided with headline:
    • ALERT Russia troop deployment an 'absolutely unacceptable threat': German FM -- headline at 0820ET nothing new -- but perhaps this from FT:
    • Russia announces nuclear exercises as fresh Ukraine talks planned -- Russia will start nuclear exercises to test its ballistic and cruise missiles on Saturday as western powers continue to warn that the Kremlin is mobilising for an imminent invasion of Ukraine.
  • After falling more than 2% Thu, SPX eminis bounced early overnight on reports US Sec of State Blinken will meet w/ Russian foreign minister Lavrov next week (providing Ukraine isn't invaded) in ongoing attempts to find diplomatic solution to tensions.
  • Technicals: TYH2 first support 125-17+ Low Feb 10 and the bear trigger while first resistance not far off at 127-01 High Feb 7.
    • Nonetheless, rallies remain shallow, keeping the focus pointed lower for now. Price trades in close proximity to recent lows of 125-17+ where a break would confirm a resumption of the current downtrend. Scope is seen for a move to 125-06+ next, 30 May 2019 low (cont).

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.