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Post-Auction Equity Bounce Short-Lived

US STOCKS
  • The 20Y Treasury auction trading through and the subsequent paring of longer-term fixed incomes losses helped put a bottom in the S&P e-mini, but it’s proving short-lived with the ESZ3 slipping back to 4353.5 (-1.1%) and only just above it’s prior low of 4351.0.
  • * The move comes with a string of large sell programs with multiple 1000 name clips in the TICK index.
  • * Support is still some way off though, at 4299.5 (Oct 10 low).
  • * Earnings: Some large names still to come with or after the close, including Netflix (~0.4% SPX weighting, 1600ET) and Tesla (2%, after). Tomorrow includes Philip Morris, Union Pacific and AT&T (cumulatively almost 1%) ahead of the open.

Source: Bloomberg

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