OptionEye Macro Outlook - Dec. 15th
Well, it's rate hike eve....can you feel the exitement in the air? Neither can I. Just saw a survey on what the 'experts' believe the pace of tightening in 2016 to be....and a majority thought there would be , yes 3 rate hikes to 1.00% by years end. I am perplexed. I could make a real argument on why not to raise tomorrow (even though they will regardless of the reason) and people are already projecting 3 hikes next year. Time to sit back and watch the carnage.
On a lighter note, overnight corn was slightly easier, beans down 1 and wheat down 2.
Stocks staging their year end rally, or at least trying, with the S&P future up 15 points and the Dow future up 141 points. The talking headds are all in good moods this morning.
Oil up a whopping .33 cents to to $36.64. The gold market is up as well to $1063.03 up $3.18.
The dollar is slightly weaker to 97.52 down .07. That trade has definitely fizzled.
Today we get Empire Manufacturing and the CPI numbers....like it really matters. I am pretty sure that the Fed is going to hike regardless of any economic indicators. They are proving that they will hike to stay relevant, not for economic reasons.