Greenspan And Gas Relieve Treasuries
Debt futures are breathing a sigh of relief and rallying after Fed Chief
Greenspan told the Senate Banking Committee that inflation has been
“relatively stable.” Lower energy prices are also reducing the
perceived threat of inflation and working to boost September T-bonds
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PowerRating)
and 10-year notes
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PowerRating). The TYU1 contract is on the Momentum-5
List.Â
The biggest decline in wholesale gasoline prices this
year occurred yesterday as the July
unleaded gasoline
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PowerRating) contract plunged more than 60 cents,
returning to its lowest level since January. Unleaded’s big decline put it in
the leading position on the Implosion-5 List.
The contract continued tumbling this morning to nearly tag the December 2000
lows but is recapturing losses and rectifying a deeply oversold situation. The
tail bar at a major low is likely to result in a short-term bottom. This contract
has shed one-quarter of its value in one month.Â
Heating oil
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PowerRating)Â is
also bouncing back after three strong down days and is trading right at its
Turtle Soup Plus One Buy
trigger. Crude oil is also a TS+1 buy setup trading below its
trigger.