Tuesday, March 30, 2010
Based on firm Asian equity markets, U.S. stock indices are called better, but traders should brace for another day of light volume and low volatility. The slightly weaker Dollar is
lending some support to higher risk assets overnight, but traders seem reluctant to take a major position ahead of this Friday’s U.S. Jobs Data.
June Treasury Bonds and June Treasury Notes continue to trade in a tight range on light volume. Last week yields in both of these instruments rose substantially as demand was less
than stellar at the bond and note auctions. This week traders are standing aside because of Friday’s U.S. Jobs Report. Traders are reluctant to take a sizeable position ahead of this important
report. Oversold conditions could trigger a short-covering rally as traders may lighten up positions ahead of the report.
The direction of the Dollar will dictate the direction in June Gold today. With inflation “subdued’ and the situation in Greece under control, it looks as if gold will have to rely on
the Dollar today. Holding about $1109.30 is supportive while …
