By Chris Becker
The USD slipped and bonds rose as the minutes from the FOMC meeting indicate a return to a dovish setting for the world’s most important central bank. Although there does seem to be a division in the ranks at the Fed over when to raise rates – maybe before the end of the year – the signal to markets is very accomodative, and hence US stocks pipped higher after a dour session in Europe. Helping oil, the weekly DOE inventory report came in much lower than expected, so WTI rose nearly 1% while other commodities were cool on the LME with gold slightly rising to $1350USD per ounce on the weaker USD.
The Shanghai Composite followed up its poor showing previously with a scratch session yesterday, closing at 3109 points, holding above the previous stalled support level at 3000 points. I’m still targeting a run up to 3400 points here on this breakout, with a tight stop:
