Bullish Job Forecast Lifts Stock Futures Higher Overnight

Top Day Rec

05.06.09

ADP private jobs forecast comes in better than expected and lifts equities after a lower trade overnight on bank stress test fears. The Fed says that BOA needs 39 billion which it could raise by converting preferred to common to meet that first tier requirement. Stock was down more than 10% then up from than 10% since the story hit.  Department of Energy report out at 10:30. Crunch gyms feeling the crunch of the eco contraction files for protection. NYC subway system saved by a fare hike and refinancing still took 2 hours this morning to transport this writer as the system finally succumbed to the deluge of water from this past week’s weather system. Après le deluge, moi.    

    

May 04	10:00	Construction Spending	Mar		NA	-1.4%	-0.9%
May 04	10:00	Pending Home Sales	Mar		NA	0.0%	2.1%
May 05	10:00	ISM Services	Apr		NA	42.0	40.8
May 06	08:15	ADP Employment Change	Apr		NA	-643K	-742K
May 06	10:30	Crude Inventories	05/01		NA	NA	+4053K
May 07	08:30	Initial Claims	05/02		NA	NA	NA
May 07	08:30	Productivity-Prel	Q1		NA	0.9%	-0.4%
May 07	08:30	Unit Labor Costs	Q1		NA	2.5%	5.7%
May 07	15:00	Consumer Credit	Mar		NA	-$3.3B	-$7.5B
May 08	08:30	Average Workweek	Apr		NA	33.2	33.2
May 08	08:30	Hourly Earnings	Apr		NA	0.2%	0.2%
May 08	08:30	Nonfarm Payrolls	Apr		NA	-620K	-663K
May 08	08:30	Unemployment Rate	Apr		NA	8.9%	8.5%
May 08	10:00	Wholesale Inventories	Mar		NA	-1.0%	-1.5%

   

Current views, speculations and suggestions

 

June Yen: neg with res at 10175  

June Swiss: positive with support at 87.85

June EC: positive with support at 132.50   

June Canadian: positive with support at 84.65

June BP:  pos with support at 149.80.     

June ES: positive with support at 896.50

June NQ: positive with support at 1413  

June Russell: positive with support at 497.00   

June Mini Dow: positive with support at 8325

Jun Gold: positive with support at 893    

July Silver: pos with support at 13.08

June crude: positive with support at 53.30         

July Soybeans: positive with support at 10.90

July Wheat: positive with support at 5.49

June Ten Year: potential reversal day       

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International Markets

June Bund: neg with res at 122.50        

June Dax: pos with support at 4832

NK: pos with support of 9270

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N.B.: if you initiate a trade using any of these numbers use a stop at least equivalent to 2 ½%. Repeat: use stops.  Don’t think about using stops. Use stops.   

 

 

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Charles Kespert 

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