Ideal Economic Data Boosts Bonds And Indexes, Oil Sinks
T-bonds and stock indexes rallied on economic reports showing weaker-than-expected employment costs and price growth and an economy that is growing in-line with expectations. Bonds registered on the Multiple Days Low Volatility List and closed near the top of their daily range yesterday.
Stock indexes gapped open, continued to rally throughout the day and ended near their highs of the day. December Dow futures [DJZ9>DJZ9] closed 230.0 to 10,687, S&P futures [SPZ9>SPZ9] gained 44.70 to 1350.20 and NASDAQ 100 futures [NDZ9>NDZ9] closed 82.50 higher at 2560.50.
December dollar index futures [DXZ9>DXZ9] rallied early on the positive economic news, then dropped back, finishing up .07 at 99.22. The Japanese yen [JYZ9>JYZ9] fell .0072 and British pounds [BPZ9>BPZ9] slipped .0062 to 1.6384.
OPEC resolve to limit oil production among members is seen as faltering and that sent crude down more than 5%. December crude [CLZ9>CLZ9] fell 1.24 to 21.68, unleaded gas [HUZ9>HUZ9] fell .0270 to .6105, heating oil [HOZ9>HOZ9] lost .0297 to .5816 and natural gas [NGZ9>NGZ9] tanked .258 to 2.965, making good on its Turtle Soup Plus One Sell signal.
Gold [GCZ9>GCZ9] prices recovered for a second day after drifting lower for two weeks. The December contract gained 6.2 to 300.4. Silver [SIZ9>SIZ9] added 7.2 to 528.0 and copper [HGZ9>HGZ9] gained .95 to 80.70.
The grains traded in a narrow range and ended mostly lower. November soybeans [SF0>SF0] fell 4 to 478.
March sugar [SBH0>SBH0] finished little changed at 7.01. Coffee [KCZ9>KCZ9] gained 1.05 to 96.70.