Mike’s Morning Brief: A fast-break rundown of what’s going on.
Market opened flattish on this historic day. The United Kingdom has officially triggered the formal process of leaving the European Union by invoking Article 50 of the Lisbon Treaty. A 2-year window for negotiations has begun. This is no surprise. The road ahead will certainly bumpy. It’s never happened before. Global stocks caught a bid after our Markets accelerated higher, putting an end to the 8-day losing streak. British stocks are at all-time highs. Chicago Fed President Charlie Evans said he sees inflationary pressures supporting higher rates. But he also said he sees little growth above 1.75% for GDP. That number is pretty low compared to consensus. Energy came to life yesterday after being grossly oversold. We still believe it goes higher led by WTI, which is back above $48. It’s interest that rates are holding firm with the 10-Year Treasury below 2.4%. The Dollar is catching a bid as is Gold in early trading. Expect the volatile price action continue, with an upward bias this Spring.
Have a great day.