City A.M. TV: Daily Market Snapshot
The pressure that has been weighing on US equities, most notably on the NASDAQ100 and S&P500, eased again yesterday. In particular, there was further weakness in US 10 year yields, as well as another move lower in the dollar.
With that, US equities rallied towards their recent record highs (and the S&P500 has now retraced approximately 80% of its losses since its local peak on 16th February). With both bond yields and the dollar beginning to fall, the key question at this juncture, therefore, is whether US equity indices will now convincingly break out to new highs? As we show in this brief clip, the answer hinges on how portfolios are currently positioned, and the message of our short term models.
Key events today include the ECB policy decision (12.45pm London time), followed by a press conference led by Lagarde (at 1.30pm).