Free Trial

Steeper Curve Prompts Rotation Out of Growth

EQUITIES
  • Wall Street was mixed Monday, reversing off a positive open as tech stocks came under pressure and prompted the NASDAQ to trade lower. A steeper US Treasury yield curve worked against growth names and the tech sector more broadly. As a result, the likes of Tesla, Electronic Arts, NVIDIA and others slid sharply.
  • The e-mini S&P erased early strength, rejecting a test of the 4,700 handle to slip through Friday's close. 4625.25 marks first support for the index, but weakness through here would open 4605 (23.6% retracement of the Oct - Nov rally) as well as the 50-dma of 4488.75.
  • European indices were more positive, with France's CAC-40 trading well alongside Italy's FTSE-MIB. The UK's FTSE-100 lagged somewhat as the over-represented materials sector provided an anchor.

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.