Index Futures Net Changes and Settlements:
Foreign Markets, Fair Value and Volume:
- In Asia 10 out of 11 markets closed higher: Shanghai Comp +1.14%, Hang Seng +1.19%, Nikkei +1.08%
- In Europe 9 out of 13 markets are trading higher: CAC +0.22%, DAX +0.17%, FTSE +0.36%
- Fair Value: S&P +6.18, NASDAQ +31.28, Dow +36.27
- Total Volume: 1.86mil ESZ & 9,408 SPZ traded in the pit
Today’s Economic Calendar:
Today’s economic calendar includes MBA Mortgage Applications 7:00 AM ET, Housing Starts 8:30 AM ET, Current Account 8:30 AM ET, and EIA Petroleum Status Report 10:30 AM ET.
S&P 500 Futures: Big Overnight And Day Session Rally After Trump Lashes Out About Speeding Up China Tariffs
When President Trump spoke about accelerating the Chinese tariffs after Monday’s close the S&P 500 futures sold off down to 2783.25, and by 8:07 Tuesday morning had traded back up to 2904.00. The first print on the 8:30 CT opening bell was 2897.00, followed by a move up to 2906.00. When this headline hit the tape – “CHINA CONSIDERING SENDING VICE COMMERCE MINISTER WANG SHOUWEN TO U.S. FOR TRADE TALKS THIS MONTH INSTEAD OF VICE PREMIER LIU HE-WSJ” – the ES continued to rally up to 2907.50.
After the high the futures pulled back 2901.50, and then made 3 new highs at 2910.00 at 9:45 am CT, 2912.75 at 10:25, and then all the way up to 2916.75, up +20.75 handles on the day, at around 11:10. From there, ES pulled back down to 2910.75, and then came roaring back up to 2915.50, and eventually 2917.75.
Just after 2:00 the ES sold back off down to 2913.75 as the MiM started to show $177 million to buy. As the MiM went to $529 million to buy the ES sold off down to 2911.25. The actual cash imbalance reveal came in at $166 million to buy. On the 3:00 cash close the futures traded 2912.50, and went on to settle at 2912.25 on the 3:15 futures close, up +16.25 handles, or +0.56% on the day.
In the end, Monday nights Globex drop was all about sticking the shorts. If you just bought and held you did great. In terms of the ES’s overall tone, it was firm until the MiM started up just before 2:00, and then flipped after the 2:45 cash imbalance. In terms of the days overall trade, over 1.8 Million ES traded, which seems low for such a big move.
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