by Chris Becker
US stocks are the only ones holding for now as King Dollar continues to throw his weight around in currency markets as emerging market stocks and currencies continue their sharp declines as race to safety caused US bonds to soar higher. Weekly initial jobless claims last night are pointing to a possibly weaker non-farm payroll report tonight that everyone is hanging on to, as the Fed is making noises about a possible rate rise in June that may take the rug out from underneath this confidence only bear market rally.
Recapping Asia where the Shanghai Composite really wants to breakout but just can’t get above the 3000 point level, barely rising yesterday. Today is key, although a late response to the NFP tonight on Monday might be more important – support at 2850 is awhile away and this price action is very tight indicating volatility to come soon:
