[Video] If yields have topped then Indices could be set for a boost

US bond yields have drifted lower this week, and we see the potential for them to extend their downside from a technical perspective. And equities should like that.

Charts (3)

In recent weeks, bond prices have moved aggressively lower, sending yields to new highs and weighing on equities. So we are keeping a close eye on the US 10 year bond market as its decline has stalled at a key level of support. And if prices bounce from here to supress yields it could provide a tailwind for US equities.

In today’s video we also look at the Russell 2,000 which itself has found its footing around a support cluster. And wrap up with GBP/CHF ahead of a UK data dump scheduled later this morning.

S&P 500 (0.70%) 22 March 2021
  • The index closed -1.09% below its 52-week high
  • 281 (55.64%) stocks advanced and 222 (43.96%) declined
  • Information Technology (1.93%) was the strongest sector and Financials (-1.29%) was the weakest
  • 5 out of the 11 sectors outperformed the index
  • 88.12% of stocks closed above their 200-day average
  • 77.82% of stocks closed above their 50-day average
  • 68.12% of stocks closed above their 20-day average

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