January 18, 2021 2:34 AM PST
S&P 500 futures are moving lower in premarket trading as traders
wait for additional upside catalysts.To get more news about [url=https://www.wikifx.com/]WikiFX[/url], you can visit wikifx official website.
Today, the U.S. House of Representatives will vote on impeachment of
U.S. President Donald Trump. If the House manages to impeach Trump for
the second time, the vote will move to the Senate where Republicans
still have majority.
While recent days have been turbulent on the political front, markets
remained mostly calm. It remains to be seen whether investors will react
to any impeachment news as President-elect Joe Biden will enter office
on January 20, and a new chapter will begin.
Crude Inventories Continue To Move Lower, Pushing Oil To New Highs
WTI oil made an attempt to settle above the $54 level after API Crude
Oil Stock Change report indicated that crude inventories declined by 5.8
million barrels compared to analyst consensus which called for a
decline of 2.7 million barrels.
Declining inventories and the recent Saudi Arabias decision to cut
production by 1 million barrels per day (bpd) continue to serve as a
major bullish catalyst for the oil market.
Not surprisingly, oil-related stocks have enjoyed solid gains at the
beginning of this year and look ready to move closer to highs seen back
in June 2020.
Inflation Reports Are Mostly In Line With Analyst Estimates
The U.S. has just provided Inflation Rate and Core Inflation Rate
reports for December. Inflation Rate increased by 0.4% month-over-month,
in line with analyst expectations.
On a year-over-year basis, Inflation Rate grew by 1.4% compared to
analyst consensus which called for growth of 1.3%. Meanwhile, Core
Inflation Rate grew by 1.6% year-over-year, in line with analyst
estimates.
At this point, there are no signs of serious pressure on the pricing
front. Traders attention has recently shifted to the U.S. government
bond market as 10-year Treasury yields rallied from 0.92% to 1.18% in
just six trading sessions before pulling back towards 1.13%.
It remains to be seen whether this rally will continue as Fed is
unlikely to decrease its asset purchases at a time when the economy
needs more stimulus and inflation remains under control. If yields
remain at low levels, stocks may get an additional boost.
S&P 500 futures are moving lower in premarket trading as traders
wait for additional upside catalysts.To get more news about [b][url=https://www.wikifx.com/]WikiFX[/url][/b], you can visit wikifx official website.
Today, the U.S. House of Representatives will vote on impeachment of
U.S. President Donald Trump. If the House manages to impeach Trump for
the second time, the vote will move to the Senate where Republicans
still have majority.
While recent days have been turbulent on the political front, markets
remained mostly calm. It remains to be seen whether investors will react
to any impeachment news as President-elect Joe Biden will enter office
on January 20, and a new chapter will begin.
Crude Inventories Continue To Move Lower, Pushing Oil To New Highs
WTI oil made an attempt to settle above the $54 level after API Crude
Oil Stock Change report indicated that crude inventories declined by 5.8
million barrels compared to analyst consensus which called for a
decline of 2.7 million barrels.
Declining inventories and the recent Saudi Arabias decision to cut
production by 1 million barrels per day (bpd) continue to serve as a
major bullish catalyst for the oil market.
Not surprisingly, oil-related stocks have enjoyed solid gains at the
beginning of this year and look ready to move closer to highs seen back
in June 2020.
Inflation Reports Are Mostly In Line With Analyst Estimates
The U.S. has just provided Inflation Rate and Core Inflation Rate
reports for December. Inflation Rate increased by 0.4% month-over-month,
in line with analyst expectations.
On a year-over-year basis, Inflation Rate grew by 1.4% compared to
analyst consensus which called for growth of 1.3%. Meanwhile, Core
Inflation Rate grew by 1.6% year-over-year, in line with analyst
estimates.
At this point, there are no signs of serious pressure on the pricing
front. Traders attention has recently shifted to the U.S. government
bond market as 10-year Treasury yields rallied from 0.92% to 1.18% in
just six trading sessions before pulling back towards 1.13%.
It remains to be seen whether this rally will continue as Fed is
unlikely to decrease its asset purchases at a time when the economy
needs more stimulus and inflation remains under control. If yields
remain at low levels, stocks may get an additional boost.