There has been an impressive turn in US equity markets, particularly from the pre-market lows. Eminis are now up 24 points on the day and up 50 points from the daily lows.
There isn’t a clear catalyst for the move and there hasn’t been any help from the bond market as Treasury yields are up on the day and in the middle of the daily range.
The comments from Williams earlier struck me as dovish but this would certainly be a delayed reaction. The latest ECB leak also suggests that they’re on track for a June cut but that’s not a big surprise.
I suspect this is another example of the buy-the-dips mentality. Chipmakers are leading the way today with Nvidia up 3.1%, that’s a trend that many people don’t want to miss, especially when you can use AI to make images like this.
AI image