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Stocks Post Stronger Start to Week

EQUITIES
  • Equity futures across the US and Europe trade firmer early Monday, with the e-mini S&P adding just shy of 10 points, although most indices trade off the overnight recovery highs.
  • This puts markets on a relatively neutral standing ahead of the Monday bell, with Friday's highs of 4606.75 still out of reach for now.
  • European trade has been wholly positive, with Spain's IBEX-35 and the UK's FTSE-100 adding 0.8-1.0% to sit at the top of the pile. Europe's energy and utilities sector lead gains, with tech and consumer discretionary stocks adding some weight.
  • S&P E-minis cleared the key 50-day EMA on Dec 1 and Friday attempted a resumption of the current downtrend. An ability to remain below the 50-day EMA would strengthen bearish conditions and looking ahead, a bearish cross of the 20-day EMA below the 50-day EMA (still a long way off) would reinforce bearish conditions.

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