CONTEXT Speaks

Just like the SPY Arb, CONTEXT for SPX futures is showing the model above ES, my opinion is still this is about new nominal highs for the SPX as it is so close, there's a lot of transactional money alone to be made there.

Model in green, ES in red.

I won't post all of the charts in the Risk Asset Layout, but give you a feel.

HYG is holding up much better intraday, it didn't make a new low at 2 pm like the market and as such is probably part of the support system, we know it is for the SPY arbitrage. Junk Credit is holding relatively the same, it always seems to trade with HYG.

The Euro is holding up better and was already making a higher high at the 2 pm lows for the SPX, so intraday its leading and the correlation between the two assets this week has been VERY close. The $USD on the other hand is making lower lows and highs as it trends down, again supporting the SPX/market. Yields are off their lows of the day and at 2 p.m. were making a higher low. HY credit hasn't moved down at all, it's been straight across with support all day.

Even commodities are playing along and leading the SPX.