OptionEye Macro Outlook July 7th
Well, it has been a wild ride. Whether you are talking about the rally and break in corn or the Brexit vote, volatility is here to stay.
We have non-farm payroll on Friday and another crop report next week.
We saw a little capitulation in corn yesterday with some call spread liquidation. With the funds getting in and getting out so quickly, maybe we are close to the bottom. Overnight sees corn up 2 to 3, beans are down 12 to 13 and wheat up 2 to 3.
Stocks are a little lower with the S&P future lower by 3 almost points and the Dow future lower by 18.
The 10 year yield is under 1.40% at 1.38% showing the nervousness the world is feeling with a flight to quality and safety.
The oil market sees crude up this morning to $47.93 up .50 cents and gold holding its gains at $1363.26 down .49 cents.
Todayu we get ADP Employment Change, Initial Jobless Claims, Continuing Claims and the Bloomberg Consumer Comfort Index.
Re: OptionEye Macro Outlook July 7th
Everybody happy today.
Brexit isn't even going to happen, or if it does it'll be a couple years down the road with everybody singing kum ba yah.
Europe will fix its banks again, somehow. The Chinese yuan devaluation is "orderly."
What could go wrong?
I wouldn't bet that we can't kick the macro can down the road past the election. Also wouldn't bet we can.