US equities open on a positive note, as the market is shrugging off pretty hot inflation data. The SPX has broken a new hist’ high, as s/t momentum has turned positive.
sp’60min
VIX’60min
Summary
CPI core (ex food/energy) y/y +3.8% vs 3.0 prior, and vs 3.4est.
On any basis… its a hot number, the highest since 1992.
The 4s are clearly coming. Headline CPI was 5.0%, but the fed/mainstream don’t like to focus on that, as they’d prefer to pretend that no one needs food or energy.
As for equities… with a new hist’ high, the market is breaking up and away. Any daily close >4238 would need to see the 4000 scenario dropped.
Chances of a full reversal today? Moderate.
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notable bond ETF: TLT
Lower bonds… as yields are on the climb. For the moment… the market doesn’t much care.
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notable fin: BAC
Higher yields…. bullish for the banks. Opening gains fading.
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notable Dow component: BA
Boeing higher on hopes of more 737MAX orders.
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notable miner: FCX
Freeport higher with the main market. The gains are impressive, as Copper was printing $4.44.
Yours truly is NOT in the mood to chase higher, and I’d certainly like to see how we settle, rather than just the intraday action.