No Surprise, Bonds Attack
An anticipated employment report Friday morning showed no surprises and Treasury
futures are reacting favorably and making a stab at two-month highs.
Unemployment in June was forecast to fall from 4.1% to 4.0% and wages were
predicted to rise an average of .4% an hour. Nonetheless, unemployment is
trading just .1% above its 30-year low of 3.9%.
T-bonds futures are punching back from Thursday’s successful
Turtle Soup Plus One Sell setup and have filled the window left from the gap
down opening to trade back near their two-month highs. Ten year notes are also
performing well with a gain of more than 20/32.
Stock index futures are also favorably bid on the jobs report
news and have been poised to rally after several days of lackluster trade. The
S&Ps are up over 20 handles, Dow futures are up triple digits and Nasdaq 100
futures are up 2.3%, or 91.00. Two
Market
Bias Indicators left a strong clue that index futures could trade
higher.
From the 10-day lows list, September coffee is trading at a
new contract low and the contract is accelerating as I write this.