Friday, March 5, 2010
U.S. equity markets are trading higher ahead of this morning’s U.S. Non-Farm Payrolls Report. Appetite for risk is up overnight which could spillover to the U.S. markets if the jobs
number shows that the economy is improving.
June Treasury Bonds are trading slightly lower. Holding 117’23 is the key to sustaining the rally in this market. The next upside target is 118’17. A break back under 117’23 could
trigger a sharp break to 116’04. Today’s jobs report will move this market. If fewer than 50,000 jobs are lost then look for T-Bonds to break. A greater than expected loss will be bullish for TBonds.
The direction of April Gold and June Crude Oil will be dictated by the movement of the Dollar. A weaker Dollar should increase demand for riskier assets which will drive up gold and crude oil.
The U.S. Dollar is trading mixed overnight ahead of this morning’s Non-Farm Payrolls Report. Demand for risky assets is up overnight putting pressure on lower yielding currencies.
Traders are looking for a loss of about 50,000 jobs. This …
