Situation Awareness: Cautious Bearish. Equity futures are under pressure as Treasury yields continue to soar to multi-year highs, fueled by increasing expectations of further rate hikes and elevated oil prices. Trade mode: selective and defensive. Today’s specific context — the market is reacting to hawkish Fed commentary and the lingering uncertainty around U.S.-Iran diplomacy, while a disappointing extension of the U.S.-China trade truce adds to caution. Regime context — 20.67% of stocks trade above their 40-day SMA, and the 4% Bull/Bear gauge shows 88 bulls vs. 344 bears. The 5-day trend shows a consistent down sequence, confirming downward momentum.
SIP: FSLY MCD
- What’s working: Continuation signals are present, with 4 signals identified.
- Leading sectors: (Market closed — no live data); leading themes: (Market closed — no live data).
- Key event — $44 billion 7-yr note auction today will be a critical gauge of bond demand after yesterday’s weak 5-yr auction.
- Market read: Yesterday’s tape saw broad market retreat driven by surging Treasury yields and crude oil, with semiconductor and mega-cap growth stocks giving back gains. This indicates persistent macro headwinds.
- DEP watchlist: (No signals)
- SIPS: TRT, FSLY, ARW, HUBB