Index Futures Net Changes and Settlements:
Foreign Markets, Fair Value and Volume:
- In Asia 11 out of 11 markets closed lower: Shanghai Comp -1.68%, Hang Seng -2.61%, Nikkei -0.51%
- In Europe 11 out of 13 markets are trading lower: CAC -0.89%, DAX -0.60%, FTSE -0.45%
- Fair Value: S&P +0.52, NASDAQ +4.47, Dow +13.07
- Total Volume: 1.60mil ESU & 725 SPU traded in the pit
Today’s Economic Calendar:
Today’s economic calendar includes MBA Mortgage Applications 7:00 AM ET, International Trade 8:30 AM ET, Redbook 8:55 AM ET, James Bullard Speaks 9:20 AM ET, John Williams Speaks 12:30 PM ET, John Williams Speaks 3:00 PM ET, Neel Kashkari Speaks 4:00 PM ET, John Williams Speaks 5:30 PM ET, and Raphael Bostic Speaks 6:30 PM ET.
S&P 500 Futures: #ES Drop And Pop
It should come as no surprise that the S&P 500 futures dumped yesterday. For the last two weeks I have been saying the ES was in need of a 20 to 30 handle pullback and some back and fill, and that it would be healthy for the market. I am not 100% sure the ES won’t get bushwhacked by wayward a headline, but I think there could be another bounce coming soon.
The ES traded down to 2891.75 on Globex, down -14.00 handles, and opened Tuesday morning at 2897.50. After the open the ES sold off down to 2886.25, rallied up to 2900.00, pulled back down to the 2894.00 area, and then made a higher high at 2901.00 around 10:15. After the rally the ES dumped back down to a new low at 2885.50, and then pushed back up to 2899.00 as the MiM started to show over $300 million to sell.
At 2:41 the futures traded back down to the vwap at 2893.75, total volume was 1.29 million contracts traded. On the 2:45 cash imbalance the ES traded 2894.75 as the MIM dropped to over $800 million to sell. On the 3:00 cash close the ES traded 2897.25, and went on to settle at 2898.50 on the 3:15 futures close, down -3.50 handles, or -0.12% on the day.
In the end, the total volume ended up 1.3 million contracts traded, but the volume was carried over from Sunday night into Monday, and Monday night into Tuesday mornings Globex sessions. In terms of the ES’s overall tone, it acted weak and was unable to hold the rallies above the big figure at 2900.00, but that doesn’t mean it won’t.
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