Stocks...
Bonds …
30 Yr. Bond…(M) June needs to press and sustain above 153.05 resistance for higher.
App. 151.24 in Sept. depending upon which chart you follow.
Bund…152.21 is mvg avg. resistance. Only closing over this level will lead to higher prices.
FX…
GBP/USD…is leading on the crosses particularly against Aussie & Kiwi. 158.09 is where the resting pattern buy stops are.
In general I’m not interested in chasing today’s direction in anything in light of the potential volatility with this afternoon’s Fed statement.
Commodities…
Brent...63.60 is support and the downside closing pivot. Keep this #, it will be important for market tone going forward.
Soybeans…keeps holding the breaks. 9.73 is the next resistance area. The beans are leading. Closes above 9.63 is positive for more upside.
General Comments or Valuable Insight
The U.S. treasuries have backed off from resistance with the Equity Indices coming into first resistance. It will be all about the Fed statement this afternoon.
Premium was crushed late yesterday in the TBT 50 June 19 calls, shedding 50% to .31 cents. This is a viable bet for a hawkish Fed statement. I’ll take a look at them closer to London’s close.
I prefer to wait out the potential volatility a Fed statement could produce and focus on healthcare and Cyber security names that have been immune from the Risk Off/Risk On paradigm Greece and the anticipated Fed tightening have been generating.
