Read Larry Connors' blog – Short Term Trading Strategies
U.S. 10-year Treasury bond prices fell today, after rallying yesterday. Bond prices dropped today, after separate inflationary reports pointed towards positive growth for the U.S. economy. A measure of bond risk dropped, and the Commerce Department factor orders report dropped less than forecast. Bonds usually fall on economic strength and rise on weakness, so traders took today's economic reports as a good thing for the U.S. economy.
The euro pulled back slightly today, on speculation that yesterday's euro run was overdone. The dollar also fell just slightly against the yen this morning, after conflicting reports out of the U.S. Housing numbers came in extremely weak, but other inflationary gauges pointed to growth and inflation. The July 4 holiday in the U.S. seems to have slowed the trading action for the day. The dollar gained over the Canadian dollar today.
Crude oil futures were fractionally higher today. Crude initially fell on speculation that U.S. refinery capacity can handle summer demand, but prices crept higher to close slightly up. Crude has been on the rise since May, with prices now settling above $70 easily. Natural gas futures were fractionally lower today.
Gold futures fell about 0.5% today, on speculation that the euro rally over the dollar is stalling. Gold usually trades inversely to the dollar and with oil; today's gold trading centered around speculation of coming dollar strength. Gold has also been trading closely with interest rates, as rising interest rates make the precious metal less attractive to safety investors.
Grains traded mixed today. Soybeans were up 5.7%, wheat was flat and corn dropped about 2.8%.
| Economic News | |
|
John Lee
Associate Editor
johnl@tradingmarkets.com
About TradingMarkets | Contact | Advertise | Careers | Link to Us | Site Map | Help | Terms & Conditions | Privacy Policy | Return Policy | Testimonials | Feedback
The Connors Group, Inc. ("Company") is not an investment advisory service, nor a registered investment advisor or broker-dealer and does not purport to tell or suggest which securities or currencies customers should buy or sell for themselves. The analysts and employees or affiliates of Company may hold positions in the stocks, currencies or industries discussed here. You understand and acknowledge that there is a very high degree of risk involved in trading securities and/or currencies. The Company, the authors, the publisher, and all affiliates of Company assume no responsibility or liability for your trading and investment results. Factual statements on the Company's website, or in its publications, are made as of the date stated and are subject to change without notice.
It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable or that they will not result in losses. Past results of any individual trader or trading system published by Company are not indicative of future returns by that trader or system, and are not indicative of future returns which be realized by you. In addition, the indicators, strategies, columns, articles and all other features of Company's products (collectively, the "Information") are provided for informational and educational purposes only and should not be construed as investment advice. Examples presented on Company's website are for educational purposes only. Such set-ups are not solicitations of any order to buy or sell. Accordingly, you should not rely solely on the Information in making any investment. Rather, you should use the Information only as a starting point for doing additional independent research in order to allow you to form your own opinion regarding investments. You should always check with your licensed financial advisor and tax advisor to determine the suitability of any investment.
HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING AND MAY NOT BE IMPACTED BY BROKERAGE AND OTHER SLIPPAGE FEES. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER- OR OVER-COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN.
The Connors Group, Inc.
10 Exchange Place, Suite 1800
Jersey City, NJ 07302
© Copyright 2009 The Connors Group, Inc.
