Overnight

Yesterday we looked to leading indicators once again as well as FX to figure out the path of highest probabilities for today's open, if not close, they all indicated higher and here we are, it still amazes me even though I've seen years of market manipulation, that the currency ETF's give signals for the next day that and they come true 90% of the time no matter what happens overnight, that's manipulation.

In Europe the UK came in with a GDP print that blew away even the most optimistic consensus. In addition, Spain, after having had the ECB's bond buying terms made clear to them (and obviously did not like what they heard) came out and said they are nearly fully funded for 2012 and will start on 2013 with money to be included to bailout the Spanish Regions. The market took both events well.

US Initial Claims printed at 369k on consensus of 370k, a beat, but as usual last week's 382k print was revised higher to 392k (look up how many times Initial Claims have been revised higher, it' somewhere around 95%, nearly every week).

Durable Goods came in at a large +9.9% print vs consensus of 7.5%. Durable Goods ex-Transporatation was only up 2%, this means non-defense aerospace orders were behind the beat in Durable Goods as Boeing's order book went from 535MM to 14.7BN a rise of 2,640%, Capital Goods ex-aircraft declined -.3% on consensus of a gain of +.8% making this the 3rd miss in a row of one of the most important components of Durable Goods, but the headlines will read well for those who don't look beyond them.

We have Pending Home Sales at 10 am, EIA Natural Gas inventories at 10:30, several Treasury auctions and after market the F_E_D balance sheet and money supply.