The latest economic data point was the producer price index, which a month ago came in white hot (probably due to tariffs). Today, however, not only was the former number reduced from 0.9% to 0.7%, but the latest report is actually showing deflation, with a 0.1% drop.
The effect on the equity futures was immediately, which was another thrust for the /ES to lifetime highs.
I don’t have any general ETF positions except for my October DIA puts. As I’m typing these words, the /YM futures are actually unchanged. For the past few weeks, the /YM has made attempts to get past its horizontal, but thus far, it has failed. It goes without saying I hope this continues to be the case!
The /RTY has preserved its own strength, although it is quite modest at only about a quarter of a percent.
And the superstar, as you know, is Oracle (ORCL) whose blow away report last night caused a $100 dollar reversal (!!!!) from the moments immediately following the report. This is a very old, established tech giant, yet it’s acting like a microcap biotech. Somewhere out there is someone who went all-in on short-term ORCL calls and has eyes as wide as saucers this morning.
For myself, the big win is my old love interest palladium. i had taken profits on PALL last Wednesday, and I’ve been second-guessing myself ever since. I just couldn’t take it anymore, so early yesterday I went “all in” (100% of one of my portfolios) into PALL, and so far, the results are good. The /PA chart below shows us up almost $80.
Looking at the daily chart of PALL is very encouraging. Not only is the bullish base terrific, but the surge in volume in recent months is a very positive sign.
In general, I’m medium-aggressively positioned. I’ve got 20 various short positions (one of which, AMD, I’ll get stopped out of at the open) and as just mentioned, one very large long in palladium.
