Rate Hikes Are Coming
With June and July set for a 1/2 point hike at each meeting, the US dollar weakness and bond/notes strength may be perplexing… but with the ECB joining the hawkish central bank party, the euro and eurodollar strength is pushing back on US dollar and treasury trends. All this could come to a head with the FOMC Meeting Minutes Wednesday; that would be a catalyst for the trends to get back on track. In the meantime, make no mistake about the indices are still in downtrends so no bottom picking!