Sentimental Opening

• October 30, 2001
• Marc Dupee

The Conference Board’s consumer confidence gauge got
whacked this morning, dipping to a seven-year low. In a week full of new
statistics on the economy, the consumer confidence report was seen as the
first in a series of reports likely to disappoint. This morning’s report
came in at 85.5, a full 10 points weaker than expected. 

Stock index futures sold off initially on the
downside surprise, making good for another day on Turtle Soup Plus One Sell
signals triggered Friday in December Nasdaq 100 futures
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and Monday in S&P futures
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Traders bought the perceived safety of T-bonds
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sending them to new contract highs. The contract is on the Momentum-5
List and is making good on an Off The Blocks
long setup. T-bonds have been mentioned over successive nights in the
Nightly Futures Traders Report. 

Also in the flight-to-safety theme, traders sold the
dollar early in favor of
Japanese yen
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Swiss francs
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British pound
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especially against the yen and pound. 

February 2002 pork bellies
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showed up on the
Implosion-5 List. They are making good on their Off The Blocks
short setup as well as their Pullback
From Lows pattern, a situation highlighted in Tuesday’s Futures
Setups.