The early call is for a lower opening on Wall Street this morning, in what appears to be profit-taking or position evening ahead of the start of earning’s season next week. Unless the market gets a jolt from a much better than expected Wholesale Trade or Inventories report today, I’m looking for the stock indices to remain rangebound, very similar to Thursday’s sluggish intraday action.
Sentiment is shifted overnight toward risk aversion leading to a stronger Dollar this morning. This morning’s change in risk sentiment represents just how fragile the investor is at this time. Look for the Dollar to stay in a range with a bias to the downside. Commodity-linked currencies are likely to feel the most heat.