Iraq Beats The Drum
Iraq flew planes over Kuwait in violation of a UN-imposed
no-fly zone and accused its southern neighbor of extracting oil from a
border region that Iraq claims as its own. Crude oil rallied out of Cooper 1-2-3-4 Pullback From Highs
setups with nearby October crude
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PowerRating) closing at $36 a barrel, a new
contract record. From the Momentum-5
List, November heating oil
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energy contracts were also getting a boost from a weather pattern that looked like it
could develop into a tropical cyclone and hit oil and gas rigs in the Gulf of
Mexico, but meteorologists said the storm would miss the region, resulting in a
slightly lower close in November natural gas
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PowerRating), down .012 at 5.300.
The first drop in the
Consumer Price Index (CPI) in 14 years appears to have bond traders convinced
that the Fed is out of the picture in terms of interest rate rises for the
near-term period. December T-bonds
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day, following through on Thursday’s nearly one-point decline with a 26/32 drop
to 98 10/32 Friday. With the Fed out of the way, traders find better value in the short
end of the yield curve. Tony Crescenzi also mentioned that a famed investor
“from Omaha has been selling U.S. Treasury strips this week. This investor
has been an astute market timer in the bond market in recent years.”
The dollar
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PowerRating) remains on a tear and made good on its Momentum-5
List reading in a move to new contract highs. The move was prompted by the
day’s dis-inflationary data with the index closing .79 higher at
115.76.
Euro FXs
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PowerRating), Swiss francs
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all Implosion-5 List
members, closed at contract and multi-year lows.Â
Sugar
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high and descending triangle pattern to close down 5%, or .58 to 9.78.Â
Cotton
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PowerRating) made good on its Turtle Soup Plus One Buy
setup early in the session but turned around mid-session to end down three
ticks at 64.45.