10/13 Daily Report
Good morning. The Fear & Greed Index is at 56 today, retreating from yesterday’s 68, which was in greed territory, back to neutral—a drop of 12 points in one day.
The biggest story today is still the Middle East: Iran’s Revolutionary Guard says a supertanker was attacked in the Strait of Hormuz, and at least 10 supertankers have left Fujairah. Brent crude hit $105 intraday, its highest level since 9/15. Iran says it is still reviewing the U.S. proposal and will respond through intermediaries.
Meanwhile, Fed voter Hammack struck a hawkish tone, saying rates need to be a little higher. She favors small, frequent rate hikes and has not ruled out a hike in October. The market’s current base case is to hold in October and hike in December. Wednesday’s U.S. September CPI report will be the key event this week.
South Korean stocks were also volatile today: the KOSPI opened down 3.27%, fell as much as 5% intraday, triggering a sidecar, while SK Hynix dropped more than 7%.
With oil prices, interest rates, and stocks all unsettled, it’s no surprise the index has retreated to neutral. Focus on risk for now, and don’t rush to chase the market before the CPI report comes out.
Good morning. The Fear & Greed Index is at 56 today, retreating from yesterday’s 68, which was in greed territory, back to neutral—a drop of 12 points in one day.
The biggest story today is still the Middle East: Iran’s Revolutionary Guard says a supertanker was attacked in the Strait of Hormuz, and at least 10 supertankers have left Fujairah. Brent crude hit $105 intraday, its highest level since 9/15. Iran says it is still reviewing the U.S. proposal and will respond through intermediaries.
Meanwhile, Fed voter Hammack struck a hawkish tone, saying rates need to be a little higher. She favors small, frequent rate hikes and has not ruled out a hike in October. The market’s current base case is to hold in October and hike in December. Wednesday’s U.S. September CPI report will be the key event this week.
South Korean stocks were also volatile today: the KOSPI opened down 3.27%, fell as much as 5% intraday, triggering a sidecar, while SK Hynix dropped more than 7%.
With oil prices, interest rates, and stocks all unsettled, it’s no surprise the index has retreated to neutral. Focus on risk for now, and don’t rush to chase the market before the CPI report comes out.