Reply #10: some pre-market blather

[UpInArms]

from Ino:

The September NASDAQ 100 was higher overnight due to short covering as it consolidates above the 50% retracement level of the January-March decline crossing at 1463.25. Stochastics and the RSI are overbought and have turned bearish signaling that a top has been posted. Closes below the June 6th reaction low would open the door for a larger- degree decline. The September NASDAQ 100 was up 3.50 points at 1470 as of 6:47 AM ET. Overnight action sets the stage for a steady to firmer opening by the NASDAQ composite index later this morning.

The September S&P 500 index was higher in overnight trading due to short covering as it consolidates below initial support marked by the 10- day moving average crossing at 1128.52. Closes above last week's high at 1142.20 would open the door for a test of April's high crossing at 1147.10 later this month. However, stochastics and the RSI are turning bearish signaling that a short-term top is in or is near. Closes below the 10-day moving average would confirm that a short-term top has been posted. The September S&P 500 Index was up 2.80 pts. at 1128.30 as of 6:49 AM ET. Overnight action sets the stage for a steady to firmer opening when the day session begins later this morning.

and from Briefing.com

8:32AM: S&P futures vs fair value: +9.0. Nasdaq futures vs fair value: +12.0. The market breathed a sigh of releif on the heels of the roughly in-line CPI report and NY Empire State reports. The S&P futures are up 3 points, while the Nasdaq futures have also advanced 3 points. Accordingly, the cash market remains set for a higher open.

8:25AM: S&P futures vs fair value: +5.4. Nasdaq futures vs fair value: +8.5. Several economic reports are due to be reported at 8:30 ET. The highlight is the May CPI report, which will shed more light on the inflation picture. The consensus estimate is for a reading of 0.5%, with the core CPI at 0.2% on the heels of last month's 0.3% increase. Separately, the NY Empire State report for June is expected to come in at 30.5, while the consensus for the Business Inventories report for April stands at 0.4%.

8:00AM: S&P futures vs fair value: +5.5. Nasdaq futures vs fair value: +8.5. The futures market is trading higher on the heels of yesterday's disappointing session that took that major averages lower by 0.7-1.5%. The market's inflation fears will get addressed with the CPI report, which is expected at 8:30 ET.