What’s In Store For Next Week?

S&P 500 index futures
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rallied after an opening gap to the downside, but couldn’t sustain the rally as
they slid into the close over the final hour. The Nasdaq 100
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fared much the same, falling more than 15 points by the end after some
mid-afternoon choppiness. This action could spill over into next week’s holiday-shortened session.

Bonds got a boost from the late-session selling in the equity futures, as
Treasuries
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rose by ’10 and 10-Year Notes
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gained 045 to end the Friday at 113 055.

Biotechs
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(-4.21%), Computer Technology
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(-2.30)
and Internets
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(-2.37)
led the way in the
equity markets in the move lower.

Soybean Oil
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rallied up to recapture its 20-day moving
average, while
Soybeans
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and Soymeal
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are continuing to hug the
area of their recent uptrend lines. Corn
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rose slightly, but
still looks like it has downside potential out of a sloping head-and-shoulders
formation, and Wheat
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closed out the positive action for the
grain group, adding 7 points by the close.

Cocoa
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finally started to pull back after its latest
thrust higher, falling 15 after rising 65 points in three sessions. Orange Juice
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is trying to stabilize after falling below the 20-day moving average, while
Sugar
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continues to chop around, posting a modest gain of 12
cents. Coffee
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continues its run higher off its August low, and Cotton
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reversed two days’ worth of upside action, falling 0.31 to 46.47.

In the energy complex, Crude Oil
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reversed an early selloff to close in the top part of its range and left a bullish tail on the daily
chart, with Crude Oil
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performing similar action, albeit with
greater intraday range. Heating Oil
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continues to trade in a triangle at the level of its recent highs.

Metals were mixed, with Copper
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closing in the green with a gain of 0.002 to close at 0.6955, and Gold
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rebounded somewhat off its 10:00 a.m. bottom, but slid lower again into the close. Silver
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fell out of a countertrend rally, falling 0.089 to 4.468 in Friday’s trading.

The US Dollar
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recovered after gapping below the 50-day
moving average Thursday, which sparked selling of the inversely related foreign
currencies. The British Pound
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fared the best, finishing the
session unchanged, with the Canadian Dollar
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, Japanese Yen
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, Swiss Franc
and Euro
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falling into the red.