SubscribeDaily Futures Commentary FINANCIALS March 18, 2009
Wednesday, March 18, 2009
OVERVIEW
The Fed ends its two-day FOMC meeting today. The debate at this meeting is over whether to continue to use quantitative easing as a tool to revive the economy.
The consensus is saying the FOMC will announce the continuation of the plan to pump liquidity into the economy by purchasing government securities. Additional plans will be announced to increase purchases of mortgage securities in an effort to push mortgage interest rates under 5%.
Financials: Trading flat. Traders are awaiting FOMC decision.
Stock Indices: Position squaring ahead of Fed meeting may lead to break.
Currencies: British Pound falls on bearish unemployment report.
Energies: Bullish inventory report needed to sustain crude oil rally.
Metals: Rising stock market is eroding demand for gold.
Grains: Hedge funds are increasing long soybean positions.
Softs: Sugar has the best fundamentals to support a rally.
FINANCIALS
Treasury markets continue to trade in a tight range as traders await today’s FOMC announcement. June Treasury Bonds and Treasury Notes have been trading in a tight range for several weeks. This report …
Read More …
Loading ...
