Can the gains be sustained?
The major US industries are opening higher following yesterday's down and up session (all major indices erased declines of over 1.2%). The equity markets are reacting to the debt limit progress. Dow and S&P closed yesterday higher for the week. Stocks are up three last four trading days.
A snapshot of the market currently shows:
- Dow is up 400 points or 1.16% at 34815. Yesterday the Dow rose 103.3 points
- S&P is up 48 points or 1.1% 4411.90. Yesterday the S&P rose 17.9 points
- Nasdaq is up 174 points or 1.2% 14675 after yesterday's 68.08 point gain
In other markets:
- Spot gold is trading down $-7.80 or -0.44% at $1754.65
- Spot silver is down $-0.12 or -0.54% $22.46
- WTI crude oil futures are down $-0.63 or -0.81% $76.79
- The price of bitcoin is down $-1100 and $54,179
In the US debt market, yields have moved higher in the early US session with the 10 year trading near high levels at 1.15520%. The five year yield is back above the 1.00% level as well.
A snapshot of the forex market, as stocks open higher shows the AUD is the strongest, while the JPY is the weakest (modest risk on flows):
