Global stock markets are trading slightly lower midway through the session, with the S&P down 3 ½ points at 1397 and the Dow declining roughly 40.
U.S.index weakness, coupled with a rebound in Treasuries, follows five sessions of higher closes. Contributing to this move were weaker-than-expected Chinese trade figures and lackluster French industrial output. Also lower for the day was crude oil, trading down $.50 in the September Globex contract.
The major market news was undeniably the USDA supply/demand and crop production reports released earlier this morning (730 CST). Extreme summer temperatures through the U.S. and near record drought conditions have significantly impacted agricultural and livestock markets on a global scale. Today’s data only reinforced trader pessimism in regard to grain yields, especially in corn and beans.
Looking forward, pay attention to next Tuesday’s, August 14th, slate of reports, highlighted by PPI and Retail Sales, both released at 730 CST.
Series 3 Licensed
John Kennedy joined RJO Futures in the summer of 2008. After graduating from Ohio University with a bachelor's degree in Economics, John pursued a career in program management with a multinational automotive supplier, based out of the Detroit area and Europe. Futures markets standardize the raw materials and means of exchange flowing within global economic systems, and this was the primary basis for John's move to Chicago. His principal goal is to identify trade opportunities and manage risk, in.... Read More