A.M. Observations

Good morning.

The overnight futures didn't move much since last night's futures post. As usual (lately) the Yen beat down's half-life keeps getting shorter.

The 1 min Yen overnight...

That leaves the Yen divergence we were looking at late last week looking like this, it starts at the left side of the arrow.

Overnight the Euro dropped leaving the EUR/JPY looking like this...

To the left was the overnight ramp in the carry pair, then the drift lower.

This kept Index futures pretty flat, but once again note the EUR/JPY above went on to make higher highs to just before the European open, it still didn't move ES beyond the initial opening ramp.

ES 1 min overnight

Gold saw the almost now customary a.m. smack down and then retraced most of that.

As for Treasury futures, the 30 year Futures look ready for a downside correction.

30 year Treasuries 5 min

That's about it early on, I'll have more for you shortly.