The situation between Russia and Ukraine remains very fluid and tensions remain high, so in the short term it will continue to be an obstacle to actions…Sevens Report said in a note. Click here to read the full article.
Regarding Ukraine, investors will await the announcement of new sanctions from the west against Russia, and depending on how severe they are, it could add to the selling pressure on stocks…wrote Tom Essaye, founder of Sevens Report Research. Click here to read the full article.
The Russia/Ukraine situation remains very fluid, and tensions remain high, and in the short term that will remain a headwind on stocks…said Tom Essaye, founder of the Sevens Report. Click here to read the full article.
The Russia/Ukraine situation remains very fluid, and tensions remain high, and in the short term that will remain a headwind on stocks…Tom Essaye, founder of the Sevens Report told CNBC Tuesday. Click here to read the full article.
What’s in Today’s Report:
Futures are down close to 3% as Russia launched an attack on Ukraine beyond the Donbas region.
Early Thursday morning Russia launched missiles at numerous targets in Ukraine and landed troops throughout the country, dramatically escalating the conflict.
Commodity prices shot higher, including oil, which is up more than 7%
Today focus will obviously be on the Russian attack and how far it goes, along with the severity of the international sanctions against Russia. Anything that implies a further escalation will weigh further on markets and send commodity prices even higher.
Outside of Russia/Ukraine, there are numerous economic reports and Fed speakers: Revised Q4 GDP (E: 7.0%), Jobless Claims (E: 230K). Fed Speak: Barkin (9:00 a.m., 12:00 p.m. ET), Bostic (11:10 a.m. ET), Mester (12:00 p.m. ET), Waller (8:00 p.m. ET).
What’s in Today’s Report:
Stock futures are enjoying a bounce this morning, tracking global equity markets higher as investors view the initial rounds of sanctions on Russia as less severe than feared while inflation data out of Europe was mildly encouraging.
Economically, the Eurozone’s Narrow Core HICP reading was -0.9%, down from +0.4% in December suggesting price pressures may finally be peaking in parts of the world.
Looking into today’s session, there are no notable economic reports to watch and just one Fed speaker ahead of the bell: Daly (9:00 a.m. ET).
There is a 5-Yr Treasury Note auction at 1:00 p.m. ET that could move markets but investor focus is likely to remain on any developments with the Russia/Ukraine situation.
After the close yesterday, it was reported that the scheduled meeting this week between Blinken and Lavrov was called off, which was a negative development but if we see a new meeting agreed to, or any signs of further de-escalation in the conflict today, stocks could enjoy a potentially sizeable relief rally. Conversely, further aggressive actions in Ukraine by Russia and/or more severe sanctions being announced by the West would likely drive more risk-off money flows.
The geopolitical tensions surrounding Ukraine have been the latest catalyst to propel gold to fresh 2022 highs…analysts at Sevens Report Research wrote in Wednesday’s newsletter. Click here to read the full article.
It is a similar situation to the 2014 Russian invasion of the Crimean Peninsula, once part of Ukraine…wrote Tom Essaye, founder of Sevens Report Research. Click here to read the full article.
What’s in Today’s Report:
Stock futures are down slightly this morning but well off the overnight lows as traders digest the latest geopolitical developments between Russia and Ukraine.
Russian President Putin recognized the independence of two “breakaway” regions in eastern Ukraine yesterday, but the risk of a full scale invasion of Ukraine still remains low.
Looking into today’s session, there are several economic reports due to be released including: Case-Shiller Home Price Index (E: 1.1%), FHFA House Price Index (E: 1.0%), PMI Composite Flash (E: 51.9), and Consumer Confidence (E: 110.0). There is also one Fed speaker on the schedule: Bostic (3:30 p.m. ET).
Finally, there is a 2-Yr Treasury Note auction at 1:00 p.m. ET and with the underlying market focus still on future Fed policy, a soft outcome (hawkish) could add to the current geopolitically fueled market volatility.
Regarding Ukraine, investors will await the announcement of new sanctions from the west against Russia, and depending on how severe they are, it could add to the selling pressure on stocks today. Additionally, as of now, Blinken and Lavrov are still scheduled to meet this week but if that meeting is canceled that will suggest a more severe conflict is imminent, resulting in more risk-off money flows.
What’s in Today’s Report:
Futures are enjoying a modest bounce as the headlines on Russia/Ukraine turned a bit more positive overnight.
The U.S. Secretary of State and his Russian counterpart will meet next week, signaling diplomatic efforts to de-escalate will continue.
Economic data was sparse but generally solid as Japanese CPI met expectations while UK Retail Sales beat estimates.
Today’s focus will again be on geopolitical headlines, and any reports of de-escalation will help stocks recoup more of Thursday’s losses, while negative headlines will likely erase these early gains.
Beyond the Russia/Ukraine situation, we do get three Fed speakers today, two of which are Fed leadership: Williams (11:00 a.m. ET) and Brainard (1:30 p.m. ET). If they make hawkish commentary (especially Brainard) look for stocks to drop again. Fed President Evans (10:15 a.m. ET) also speaks this morning.
Finally, on the economic front, we get one report today, Existing Home Sales (E: 6.08M), but that shouldn’t move markets.