Europe in the forefront

Overnight ES saw a pretty big drop after the EU open, the problem? Again rising yields in Spain and Portugal. There was a flight to safety trade in to the Swiss Franc which caused the SNB to intervene in the currency markets to hold off the rise in the Franc.


German Industrial production also missed.

HSBC printed their China Services PMI which came in at 53.3 vs  previous 53.9

US Initial Claims printed at 357K, on expectations of 355K. Last week as usual was revised higher as will be this week's print next week.

European slide in ES after the EU open.

The flight to safety in the Swiss Franc and selling of the Euro followed by the Swiss National Bank intervention.

So far this morning's market action is not surprising, there were intraday positive divergences yesterday suggesting backing and filling in to the gaps, we'll see when they go negative what short opportunities or maybe even some longs, line up.