The market is struggling this morning to build on yesterday’s new all-time highs in the S&P and Nasdaq. The four major indices are currently trading about 0.4-0.6% lower on the day.  We registered immediate-term overbought signals (I know…) yesterday, taxes are the talk of the town, and rising yields seem to be weighing on tech stocks again.  That said, people accumulated piles of cash during the lockdowns, the government is in going full speed ahead on stimulus, many are making more through unemployment than they were while working , earnings have been good, and the Fed has no intention of tapering anytime soon. As such, there continues to be a tremendous desire to accumulate on every dip. It keeps working, so why change up the strategy? 

Personal incomes saw a month over month rise of 21.1% thanks to people getting another round of stimulus checks.  Chicago PMI came in at 72.1! We haven’t seen a reading that high since the early 80’s. Consumer sentiment rose slightly to 88.3 from the prior reading of 86.5. Next week’s data slate is fairly light, but it will include non-farm payrolls on Friday.  Have a great weekend. 

E-mini S&P 500 Jun ’21 Daily Chart
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Bill Dixon

Senior Market Strategist
Bill began his career working with a firm of technical commodity traders specializing in the treasury and metal markets. In 2006 he moved over to Lind-Waldock as a broker. Bill joined RJO Futures in 2011.
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