What is the Copper-Gold Ratio Telling Us About This Market?
What’s in Today’s Report:
- What is the Copper-Gold Ratio Telling Us About This Market?
Futures are sharply lower as the selling in tech continued overnight and that is dragging the entire market lower.
Nothing especially “negative” happened overnight but the reality is it’s been a tough week for tech (ASML and TSM earnings weren’t good enough and IBM was bad) and given elevated valuations, it’s triggering intense selling.
Geopolitically, Iran and the U.S. continued to trade strikes but the conflict did not materially escalate.
Focus today will stay on economics and the most important report is the University of Michigan Inflation Expectations, and if they decline solidly that should pressure yields and help support this market. Away from inflation we also get Industrial Production (E: 0.2%) and Consumer Sentiment (E: 51.3) and the stronger those reports, the better.
Earnings season also continues with a focus today on regional banks including: RF ($0.64), TFC ($1.08), FITB ($0.98), TRV ($5.16).