It’s all good again and for the upteempth time in the past week and a half we are ready to gap up. This time of course over that very annoying S&P 1265 which has provided resistance the past 3 sessions.
Some of these things at the Draghi press conference, were talked about the past few days such as easing collateral requirements, but per the usual the market is acting ‘surprised’. Reserve ratio was dropped from 2 to 1%…. 36 month loans (rather than 24 month loans expected) etc.
Back on the home front initial jobless claims fell to 381K which is almost at a level where one can get bullish on that angle (370K or below). Lowest reading since February.
“Risk On!” (ETN: ONN)
Update 8:52 AM – Draghi just said he was surprised that his comments re: fiscal compact (see previous post) had the market assuming there would be more bond buying post fiscal compacts… the market is not happy with that.
Also the rate cut was not unanimous. Futures selling back down on those comments…
“Risk Off!” (ETN: OFF) (at least for the next 2 minutes)
yes every word changes the whole complexion of things…. remember it’s the nonsense market, completely reliant on interventions.