A renewed round of tariffs against China by president Trump dented bullish sentiment, but nothing appears able to stop the S&P which is just 14 points from making a new all time high, a goal it will likely achieve today.
"The 'path to victory' for the S&P 500, if it loses the Tech sector, runs straight through Financials and Industrials. The former needs the yield curve to steepen.. the latter could really use some good news on the trade front .."
It’s an extremely busy week of US data/earnings/events with plenty to keep US yields in the spotlight after a notable sell-off in the first half of the week followed by a notable rally over the last couple of days.
...after a brief decline in January, the balance of loans secured by residential real estate hit a new high in February. More interesting is the segment of loans being used for personal consumption, is growing at the fastest pace in years.
While the general risk-on rally across global markets persisted for a third day amid sliding volatility, the rally appears to have lost some steam with Dow futures lagging after last night's disappointing IBM revenues, which in turn may have capped the S&P ramp that started on Monday.