Bonds are currently 0'05 lower at 160'04

Marc Nemenoff PRICE Futures Group

Financials: Dec. Bonds are currently 0'05 lower at 160'04, 10 Yr. Notes 0'03.5 lower at 129'28.0 and 5 Yr. Notes 0'01.5 lower at 118'1.0. Last week I recommended trading treasuries from the long side on breaks. .

We had a good sized break, trading as low as 159'10 overnight from the long side on breaks. Long term support is the low made the week of Sept. 13th at 158'12. Upside resistance is currently 165'10. The market is well off the lows due mainly to possible of progress and a deal on Brexit. I am still recommending trading from the long side with close stops (in the case of the Bonds I usually use a 12-15 tick stop).

Grains: Dec. Corn is 2'6 higher at 394'5 Nov. Beans5'6 higher at 933'6 and Dec. Wheat 6'6 higher at 5.20'0. The trend is sideways to up. That being said my near term upside objectives have been met and I am on the sidelines.

Cattle: Live and Feeder Cattle were steady to higher for the week with the Oct. LC gaining on all other months. For the moment I remain short Dec. LC

Silver: Dec. Silver is currently 15 cents higher at 17.58 Rallying on a Brexit deal and stronger Pound versus a weakening Dollar.

S&P's: Dec.S&P"s are currently9.00 higher at 3000.50. Once the prospect of a Brexit deal was announced the market immediately rallied as high as 3006.75 and may have put in a short term top. Treat as a trading affair between 2963.00 and 33013.00.

Currencies: I am on the sidelines but will return next week now that Brexit is out of the way.

Author

Marc Nemenoff

PRICE Futures Group

Mr. Nemenoff is a 37-year veteran of the futures industry.

EUR/USD: US Dollar to remain pressured until uncertainty fog dissipates

Unimpressive European Central Bank left monetary policy unchanged for the fifth consecutive meeting. The United States first-tier employment and inflation data is scheduled for the second week of February. EUR/USD battles to remain afloat above 1.1800, sellers moving to the sidelines.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold: Volatility persists in commodity space

After losing more than 8% to end the previous week, Gold remained under heavy selling pressure on Monday and dropped toward $4,400. Although XAU/USD staged a decisive rebound afterward, it failed to stabilize above $5,000. The US economic calendar will feature Nonfarm Payrolls and Consumer Price Index data for January, which could influence the market pricing of the Federal Reserve’s policy outlook and impact Gold’s performance.

Week ahead: US NFP and CPI data to shake Fed cut bets, Japan election looms

US NFP and CPI data awaited after Warsh’s nomination as Fed chief. Yen traders lock gaze on Sunday’s snap election. UK and Eurozone Q4 GDP data also on the agenda. China CPI and PPI could reveal more weakness in domestic demand.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.