60 Minutes earns 120 ticks day trading Crude Oil & Gold after GDP News

Click Here To Review Our Automated Trading Results From This Morning

Waiting on the Debt Ceiling vote today @ 10am Fed Economic Summit in Wyoming today

Euro inflation concerns dropped this morning.

Crude Oil dropping to new lows today.

Gold sloppy at the highs, looking to buy at support.

Volume will come in early with the news at 830am, but we're watching the clock looking for the lunchtime setting in around 1030am this morning.

830am est

US Dollar in a bull channel, rising prices, so we have selling opportunities on the markets we trade.

Clue #1 = rising dollar = sell crude/gold/Russell/euro

Crude needs to fall to new lows this morning.  we have a very concerning area above 98.00 on crude oil, and right now we're trading around the BMT in slop and chop.

With the US Dollar rising we want to sell at resistance and sell retracements with new lower lows.

We can buy the lows at 96.50, however, beware that when we make new lows we then consider the sellers in charge and we need to sell retracements.

We have a major bull price channel, so buying at major support levels will also be very high % today.

Gold Futures trading sloppy around the all-time highs, traders took profit at the highs and the price sits in the middle of the range below it.

The best trades on gold today will be buying at support when price drops.

Its going to be hard to sell these highs, very whippy, sloppy, and you need to use a VERY side stop to trade around the highs...not worth it!

·         GDP comes out lower, USD bearish, Gold Bullish, crude bearish

·         ECI (Inflation) comes out higher, USD bearish, gold bullish

·         GDP in CAD is Lower (crude bearish)

·         Industrial Production CAD is Lower (crude bearish)

We need to sell retracements on crude oil, buy pullbacks on gold.

Crude Oil is in an outside day, so sell retracements.

850am est

We took the wave long on the Gold 21range and got +5/-5 for a scratch and we remind ourselves that this may be the personality on gold today b/c of the Debt Ceiling talks.  We know the best trades on gold will be to buy at support when price falls off these highs.

We took the Wave short on crude oil when we got bearish news at 830am GDP/ECI, and we sold a retracement which went +5/-5 for another scratch.

Both of these trades tell me to be careful, be selective, and let’s wait to see higher highs/lower lows and better price action.

1000am est

We know that 10am might be the end our day in all reality, with news and the debt talks and the summertime Friday.

we've been very fortunate to get easy winning trades early in the day today, so we have the luxury of being patient.

Let's be selective and keep your eyes on the clock.  no trades after 11am today.

1010am est

We've hit our daily goal today and we now know the news this morning is delayed a little bit while the republicans and democrats battle it out on capital hill.

We need to be careful, the price action is changing personality and getting very slow and narrow ranges.

Let's find our highest percentage LOCATION and wait for price to come to us.

1020am est

Where are the highest % trades on crude oil for the rest of the morning?

If prices rises im going to sell the bear channel highs, and will sell resistance at 96.50 area.

if price falls we can sell retracements with new lower lows (bear price channel) and then we can buy at major support 95.00, 94.85, 93.86 and im sure we can find some minor levels of support along the way.

Click Here To Review Our Automated Trading Results From This Morning

Review our Automated Trading System Performance

It’s that time of the week again, let’s see how our auto trader performed this week/month.

Let’s begin with the Euro Futures contract, which earned over $2200 and used only 13 trades to accomplish that profit.

We love how this auto trader does NOT over-trade and you can easily see how your broker will hate that you don’t pay a lot in commissions with this, making it easy to make long term profits.

Now let’s review Crude Oil Futures, earning over $1600 on only 25 trades.  That means you only spent $125usd with your broker and earned profit over 1600...and remember...this auto trader did all the work for you!

Next, one of our favorites is Gold Futures, which earned over $1000 using only 16 trades to reach that profit.  You spent under $100 with your futures broker to earn over $1000, and it all you have to do is set it up and let it run!

Last, but certainly not the least we have the Mighty E-mini Russell Futures, which earned $750usd with only 10 trades.  You spent $50 in commissions to earn $750 and its 100% fully-automated...doesn’t get much easier than that.

Wait! 

Don’t forget...these results are the 100% Fully-Automated...we also have a ‘close’ button with this automated system which allows our clients to use this Auto Trader to ENTER the trades properly, and then you can MANUALLY take PROFIT anywhere you please.

Go back and look...you can EASILY take profit at major S/R levels we mention in our live trade room and easily double/triple these profit results.

Im excited to share this with our Advanced Members, we train everyone from start to finish on how and when to use this great profitable trading tool.

See you Monday for more LIVE Day Trading!

Trade the News Market Internals Update at 12:00ET

Dow -9 S&P +2.5 NASDAQ +11.7

**Economic Data***

- (BE) Belgium Jun YTD Budget Balance: -€10.9B v -€11.6B prior
- (MX) Mexico Jun YTD Budget Balance (MXN): No est v -17.8B prior
- (PD) Poland July NBP Inflation Expectations: 4.7% v 4.2% prior
- (SA) South Africa Jun Budget (ZAR): 12.6B v 10.0Be
- (SA) South Africa Jun Trade Balance (ZAR): 4.9B v 1.0Be
- (CA) Canada May Gross Domestic Product M/M: -0.3% v 0.1%e; Y/Y: 2.2% v 2.8%e
- (CA) Canada Jun Industrial Product Price M/M: -0.3% v -0.1%e; Raw Materials Price Index M/M: -2.2% v -2.0%e
- (US) Q2 Employment Cost Index: 0.7% v 0.5%e
- (US) Q2 Advanced GDP Q/Q Annualized: 1.3% v 1.8%e; Personal Consumption: 0.1% v 0.8%e
- (US) Q2 Advanced GDP Price Index: 2.3% v 2.0%e; Core PCE Q/Q: 2.1% v 2.3%e
- (BE) Belgium Q2 Preliminary GDP Q/Q: 0.7% v 0.3%e; Y/Y: 2.5% v 3.0% prior
- (CL) Chile Jun Unemployment Rate: 7.2% v 7.2%e%e
- (BR) Brazil Jun Nominal Budget Balance (BRL): B v -14.7B prior; Primary Budget Balance: B v 14.5Be; Net Debt to GDP ratio: No est v 39.8% prior
- (US) July Chicago Purchasing Manager: 58.8 v 60.0e
- (US) July Final University of Michigan Confidence: 63.7 v 64.0e; Lowest since Mar 2009
- (US) July NAPM-Milwaukee: 59.0 v 56.9e

- The first look at the US Q2 GDP and the revision of Q1 GDP figure from the previously reported +1.9% increase to a nearly flat +0.4% upset markets this morning. Taken together, the data indicated that the "soft patch" in the US economy during the first half of the year was even softer than previously believed. Meanwhile in Washington political maneuvering continued after House Speaker Boehner failed to get his caucus behind attempts to pass his bill in the House, prompting Senate Majority Leader Reid to press on with his own last ditch package. Equities declined in the premarket and fell a bit further after the open, only to recover after the July Chicago Purchasing Manager Index and final reading of the July University of Michigan data came out. Neither report was very strong, and the latter was the lowest in more than two years. Spot gold spiked back above $1,630 after the GDP data but is off its session higher. Note that the VIX index pushed out to the highest levels seen since March earlier this morning. US Treasury markets are holding near session highs despite strong rebound for US stock indices. The 10-year yield has fallen back below 2.9%.

- Chevron's profits were very strong in its Q2, growing nearly 50% on a y/y basis, beating expectations. Production was lower on a y/y basis, but higher selling prices more than made up the difference. Note that the firm's revenue disappointed. Shale gas major Chesapeake Energy's quarterly revenue crushed expectations, while profits (ex items) were also above consensus. Analysts were eager to hear about the firm's progress in the Utica shale formation, although no production data was provided.

- The natural disasters of the Spring did not keep insurance giant MetLife from crushing expectations. Earlier the company had already warned of an unexpectedly large catastrophe loss in the quarter, but nevertheless the firm's business grew sharply across units. Coventry Health had solid profits and revenues, and raised its FY11 outlook. Healthcare supplies giant McKesson showed strong growth across its business, boosting both the top- and bottom-lines, allowing it to raise its full-year outlook.

- On the consumer front, Starbucks modestly exceeded analysts' estimates and raised its FY11 guidance slightly. The firm's comp sales held up nicely, as price increases seemed not to substantially cut the firm's business. New handset spinoff Motorola Mobility did quite well in its Q2, however its outlook for Q3 was very weak, as the company warned that key product delays would seriously impede profitability. Newell Rubbermaid cut its FY11 outlook slightly, even as profits and revenue topped expectations.

- Three major mining names missed consensus expectations in earnings. Despite reporting 74% y/y increase in net income, rising costs and the big gains in the Brazilian Real killed Vale's profits, and the company warned that these trends would continue to be an impediment moving forward. Newmont Mining blamed its miss on higher costs and lower production, especially copper, production of which fell 45% y/y. Arch Coal blamed its miss on the bad weather impact this spring, plus higher costs.

- The weaker US data paired with no progress on the debt impasse sent risk aversion sentiment sharply higher during the US session, sending the Swiss Franc and spot gold out to fresh all-time highs. The yen strengthened to fresh post-G7 intervention highs around 77.00. Dealers are keenly aware that spreads on peripheral European debt continued to widen, which does not bode well for Europe, even as overall markets remain preoccupied with the US debt ceiling soap opera. Yen strength continued to provoke verbal intervention; Japan PM Kan reiterated that the government would carefully monitor FX price movements but he would not comment directly on either outright currency levels or possible intervention.


***Looking Ahead***

- (CO) Colombia Central Bank Interest Rate Decision: Expected to raise the Overnight Lending Rate by 25bps to 4.50%
- 11:00 (US) Fed to purchase $2.5-3.0B in Notes/Bonds
- 11:00 (US) Senate Democrats press conference
- 12:00 (CO) Colombia Jun Urban Unemployment Rate: 11.1%e v 11.0% prior
- 12:00 (FR) France Jun Net Change in Jobseekers: No est v +17.7K prior
- 15:00 (AR) Argentina Jun Construction Activity M/M: No est v 2.7% prior; Y/Y: No est v 14.8% prior
- 15:15 (US) Fed members Bullard and Lockhart discuss monetary policy in Wyoming


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Day Trading witout Volume & Tape Reading

If you trade overnight, or early in the US morning session, or when the Euro session is slow, you may not see enough speed and you may not be able to use tape reading to qualify the trade.

If you cannot use the tape, and there isn't any speed, you then rely on your price structure and price pattern to trade for you.

Price Structure will tell you where the highest % trades will be, and then at those levels you then look for the price pattern.

Step 1 = Identify the price structure

Step 2 = identify the highs and the lows of this structure

Step 3 = think ahead of time...'what if price was to rise to here...what would I do'

Step 4 = wait patiently for price to come to the locations you defined in step #2 (highs and lows)

Step 5 = Wait for the price pattern to form at the level you defined in #2

Step 6 = enter the trade when the pattern triggers, making sure you use all of your rules.

Compensating Factors:

·         trading with the short term trend.

·         look for the same pattern on a different timeframe.

·         different timeframes, different patterns, but SAME direction.

Setting up charts:  please watch the Quick Start Guide, or email our support team.

Range Charts:  I use range these for some specific reasons.

·         make it easier to learn patterns

·         easier to recognize patterns

Gold Contract Rollover:  we trade the month contract with the most daily volume, and the 08-11 contract was less than the 12-11 contract so we jumped the 10-11 and went straight to the 12-11.

An agreement to buy/sell at a specific price in the future.

Example:

"Joe's Japanese Furniture Imports"

I take my USD and I fly to Japan and i give them my USD, and they give me furniture I need to run my business.

If the dollar drops in value I cant buy as much furniture because the Yen will increase compared to my USD.

I need to hedge against a falling USD to protect my business.

I will buy GOLD as a HEDGE to protect against a falling dollar.

I lose money on the USD, but I make it back with the GOLD long position.

I will go out and buy a higher price for a more distance expiration to protect myself and hedge my USD position.

How many trades per day?

- scalper = 15+

- day trader = 8-15

- Fast Track = 5-8

When is the market too dangerous to trade?  watch the video on the blog.

Which BMT is the strongest magnet?

usually its the slower timeframes, but when have slow and sloppy markets, anything can stall price action, and even the weak 4range BMT's will hold.

AB=CD Pattern is used when you need to find the best profit target or your stop.

We usually use the support/resistance the market has to offer, but when we dont have that we use the ABCD pattern.

Example:  Gold at the All-time Highs

3-strike Rule:  This says that if we don't fill our profit targets within 3 tests of the target we then move the target up/down manually to get it filled.

3 Signs of Price Reversal:  look for these 3 indicators to tell you when price should be reversing.

Pace of Tape Indicator measures the speed of the markets.

Speed itself is a very strong indicator that you have never used before.

Fake-out Breakouts:  we look for these at the extremes.  use the 3 signs of a price reversal along with this.

Three Must-haves for day traders:

1.  Must understand how the markets work

2.  Must understand how people work with those markets (speed, tape reading, price action)

3.  You must understand how you react to these markets (your emotions)

Books:

Market Wizards by Jack Swagger

Inside the House of Money (Hedge Fund)

Trading in the Zone, Mark Douglas

Day Traders Prepare for Debt Ceiling Vote, Crude, Gold, Russell, Euro tumble to lows

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The James' Report:  Professional Resources for Professional Traders

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·       Debt Ceiling Vote Delayed in the US until today, something today?

·       Spain receives another possible downgrade by Moody's

·       Euro Zone sees lower CPI reading, Inflation concerns decrease

·       Crude Oil trading at Weekly Lows, at the 89Range BMT

·       Gold continues to play with new highs, traders take profit at highs

·       Euro continues to trade in transition, lows of bull price channel

·       Russell heads back to new lows, breaking major channel support

 More from the news this morning...

- In US politics, the delay in the debt deal continues as initial reports state that the House of Representatives would not vote on Thursday. House Republicans are expected to meet on Friday at 10:00 EST to determine how to proceed on the debt ceiling talks. The US House Rules Committee will allow changes to debt bill to proceed. The panel will permit changes to the debt bill on Friday.

- According to the London Telegraph, based on yields, British gilts are seen as being safer than US debt. The yield on the 10-year gilt has recently moved below the 10-year US Treasury yield. Monument Securities analyst said that Gilts are being treated as a safe haven amid the EU and US debt issues.

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Today's Economic News:

Day traders have a very busy Friday morning with economic news.  We begin the day with some items that will be on everyone's minds this morning; The Fed Economic Summit starts today in Wyoming, and they will be voting (again) on the debt ceiling here in the US.

The day begins with the assumption there will be lower volume because of a summer Friday, so expect less volume early, and volume slowing down around 1030am this morning.

We begin with 830am GDP and Employment Cost Index news, then followed by 930am US Markets Open, 945 we have Chicago PMI, 955am Consumer Sentiment, and at 1000am they are meeting again on the Debt Ceiling.  We will have the transition into lunch after 1030am today because it's a summer Friday (earlier than normal) and then 215pm this afternoon we have a press conference with our Fed Chairman Ben Bernanke which will assumedly have traders sitting on hands waiting to hear what he has to say about the whole debt situation in the US.

Overall, the key trading today will be get in early, be selective with our trades, and then look for volume to slow down after they begin speaking at 10am about the debt ceiling.  We hope to have volume into 11am today but it is unlikely, so we will keep that in mind.

News for Day Traders

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Looking at the Charts:

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The US Dollar Index is trading in a transitional area this morning at the highs of the short term bear channel, and the lows of the long term bull channel.  You can tell by looking at the bullish candlestick we see most recently that today the US Dollar may try to pop back up into the lower end of the bull channel, which will then push back up into the 76.000 area next week.

Looking at the faster 13range chart on the dollar we see a strong up trend with higher highs and higher lows, giving us clues that rising dollar prices will result in selling opportunities on the markets we trade.

US dollar Index 89r

US Dollar Index 13r

Crude Oil Futures are trading sloppy around the BMT this morning on the 89Range chart.  We can see a sideways range from 98.00 down to 96.50 which will be our main focus until we breakout of that range.  If we make new lows we look great to be selling retracements on the way down, and then look to take profit, as well as look for buying opportunities at the major support levels of 96.50, 95.70, 95.00, 93.86.  We will also be able to find minor levels of support and resistance as we get into our faster timeframes, but these levels will be the highest percentage today, and with the dollar making new highs we know that selling opportunities on crude oil will be high percentage today.

Crude Oil Futures

Gold Futures are trading just off  their all time highs again today, pushing new highs on Thursday and then pulling back off those highs as traders take their profit wisely.   The big issue with Gold is that the highs like this make for very sloppy price action, so we need to be careful where and when we trade gold today.  The best trades will be to buy support as price falls off these highs.  The bullish price channel tells us to buy pullbacks and buy at support, however, buying pullbacks at new all-time highs will be very high risk, so keep that in mind.  Im looking to buy Gold today at support levels of 05.5, 93.0, 86.0, 83.5, 78.7, 67.5.  If price breaks through these support levels I will then consider selling retracements with new lower lows, keeping an eye on these support levels as profit targets for short trades.

Gold Futures

 The Euro is trading at the lows of its bullish price channel, looking for support here, and possibly tumbling to new lows and testing major support levels we see on our 89Range chart.  We can see the bullish price channel tells us to buy at support levels if price drops out of this channel, and if we see new highs we then buy pullbacks, being aware that the BMT area of 4300 will NOT be a good place to get into a trade.  As price rises im selling at 4346, 4381, 4515, 4547, however, this bull channel tells me to look more to buying a pullback above those levels of resistance when they are broken.  If price falls im buying support levels of 4220 channel lows, 4115, 4085, 3990, 3920, 3815.  The Euro will be watching the US Debt Ceiling Vote today, so volume will be a concern, watch your speed.

Euro Futures

The Russell Futures are trading at the lows of the major bearish price channel (a very bearish sign) and we see that Thursday's attempt to come off these lows was a failure, and we make new lows again today.  This bearish channel tells me to sell at resistance if price rises, and sell retracements with new lower lows.  We can see easy profit targets for our short trades at 779.0 and 770.3, however, remember we will be looking to buy at support 790.0 first, which is the low of the channel.  if we make new lows, then we look to sell retracements.

Russel Futures

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Need Help?  Click here for help logging into the Trade Room

I’m always improving this prep, I appreciate your feedback, please post it here!

Crude Oil price channel & wedge gave me easy clues to hit profit goals today

Our morning prep was posted at 745am this morning. Waiting on the debt ceiling vote this morning in the US. Summertime trading so watch the clock, 830-1130 is our sweet-spot.

The US dollar making new highs, bullish price channel, this is bearish on the markets we trade.

Crude Oil is trading sideways, and if we rise to new highs we have a very difficult area to trade around 98.50-98.40, so we would rather see prices fall today on support where we can buy at 96.50 and then sell retracements below 96.50 down to 95.00

Bull channel on crude oil tells me the highest % trades will be buying at support.

Gold futures are trading sideways at the all-time highs and the bull price channel tells us to buy at support as price drops for the highest % trades today.  Be very careful trading around the all-time highs of 28.8.  We want to sell the highs, but it will be sloppy.

The Russell futures are trading at the lows of the price channel, so look to buy at this major support.  Bear price channel tells us to keep selling retracements as we make new lower lows, and then we can buy at the major support 90.6, 79.0, 70.3 as price drops.  Keep in mind the highest % trades in a bear channel will be selling at resistance if price makes new higher highs.

The Euro is trading in the middle of the price wedge, and we can see plenty of resistance overhead and support below to give us opportunity for profit.  If we fall to new lows we have a bull channel so buying at support is the highest percentage trade today.  and if we make new highs we then sell at resistance overhead and buying at the lows of the channel and other support levels as we rise.

830am est

Jobless Claims come out lower than expected, but we fear the analysts see right through it as being manipulation of the news number.  '398l' versus the 400k that was the low.

We also notice that Gold has rolled over to the 12-11 contract, same as last year, as traders hedge against rising prices.  This is a big clue.

900am est

We finish rolling over the gold to the 12-11 contract, and we see the volume is still very slow, and we remind ourselves that gold today may be very slow b/c of this 'change' out of the ordinary.

910am est

We have a very tough spot on crude oil.  at the lows of the major bear channel (buy here) and then we have a recent bear channel and we are coming off the highs (sell here)

Double tops tell us to buy at support as price falls.

·         Inside day on Gold

·         Inside day on Crude Oil

925am est

We wait patiently for the US Markets to OPEN, everything very quiet this morning on a summertime Thursday and the debt ceiling news coming out shortly.

Gold futures have a few options this morning.

If prices rise I'm selling 20.6, 21.4, 27.2, and if prices fall I'm buying 13.6, 12.6, 11.9, 08.0

We also know the highest % trades on gold will be buying at support.

1000am est

Pending Home sales are higher than expected (USD Bullish, Crude and Gold Bearish)

1015am est

Dollar drops and goes into the previous day's trading range, inside day now.

Inside day on the dollar will results inside days on the markets we trade most.

1020am est

we start seeing the price action get very whippy, so beware and be selective with our trades moving forward.

Gold at the 89r lows, and looking oversold, we want to buy these lows.

1035am est

Gold is now a little too sloppy for our liking, not giving us the follow through that we think is coming after we see the big money enter on the tape. 

Crude Oil is in the middle of the trading range, so we wait patiently.

Gold is at the major support wedge/sideways lows and we want to buy now at these lows.

We had the sellers pushing new lows, we tried to sell short, but the price action is very tough to get follow-through.

Trade the Nerws Market Internals Update at 15:30

Dow +74 S&P +11 NASDAQ +32

***Economic Data***

- (BR) Brazil July FGV Inflation IGP-M M/M: -0.1% v -0.1%e; Y/Y: 8.4% v 8.3%e
- (SA) South Africa Q2 Unemployment: 25.7% v 24.9%e
- (US) Initial Jobless Claims: 398K v 415Ke; Continuing Claims: 3.703M v 3.70Me
- (CL) Chile Jun Industrial Production Y/Y: 4.0% v 7.0%e; Industrial Sales Y/Y: 26.0% v 6.9% prior
- (CL) Chile Jun Total Copper Production: 426.5K v 442.6K prior
- (CL) Chile Jun Jun Retail Sales Y/Y: 12.5% v 10.0%e
- (US) Jun Pending Home Sales M/M: +2.4% v -2.0%e; Y/Y: 17.3% v 14.7%e
- (US) Weekly EIA Natural Gas Inventories: bcf vs. +38 to +43 bcf expected range

- Buyers are stepping in this morning, helping US equities recover from yesterday afternoon's big slide. Another batch of strong earnings reports plus the unexpected decline in the weekly initial jobless claims are putting a floor under recent declines. Note that initial claims fell below the 400K level for the first time in 16 weeks. House Republicans plan to vote Thursday on Majority Leader Boenher's debt plan this evening, although nobody expects the measure to pass the Senate. In the upper chamber Majority Leader Reid and Minority Leader McConnell have been exchanging insults, boding ill for chances to pass any legislation to raise the debt ceiling before the August 2nd hard deadline. Around the world investors, governments and companies are preparing for the worst, although no one has a clear idea of what will happen if no debt deal is reached. Chinese rating agency Dagong Global Credit said overnight it might cut the US sovereign rating from A+ as soon as Aug 1st. Spot gold is down sharply this morning, dropping back towards the $1,600 level after a solid week of gains. US Treasury markets continue to show little signs of stress with the 10-year up a quarter point yielding 2.95% ahead of this afternoon's 7-year note auction. Other quarters of fixed income trade like 1-month bills and the repo markets continue to show signs investors are preparing for at the very least a downgrade to the US sovereign rating.

- Exxon surprised investors by offering less profit growth than expected in its second quarter, although profits still hit three-year highs. Analysts blamed the earnings miss on trouble in the firm's international downstream business, possibly due to FX issues. Upstream profits gained strongly on a y/y basis thanks to high oil prices. Net income at Royal Dutch Shell rose more than 50% y/y, a little shy of expectations, while revenue was much higher than year-ago levels. Like Exxon, downstream earnings were weaker at Shell. Murphy Oil missed earnings targets, despite improved income in both upstream and downstream ends of the business. The firm's guidance for Q3 fell well short of expectations, due to various one-time items, including taxes and expenses.

- Visa met expectations in its Q3 and reaffirmed its FY11 outlook. Payments and transactions grew in the double digit percentage range in the quarter. The company told investors that the majority of the impact from debit card fee caps will happen in FY12. Insurance name Aflac also met expectations and reaffirmed its guidance for the year.

- DuPont beat expectations and raised its full-year forecast, citing contributions from its acquisition of Danisco. Sales at key units remain robust, including in its key titanium dioxide and agriculture businesses. Ag names Bunge and Potash both crushed expectations on very strong demand dynamics. Potash also raised its FY11 guidance.

- Heart stent firm Boston Scientific crushed earnings expectations in its Q2 and offered continued strong guidance for Q3 and the full year. Note that analysts are projected potential gains for the firm's stent sales after Johnson & Johnson said last month that it would withdraw from the business. Bristol-Myers Squibb was right in line with expectations, aided by strong initial demand for the firm's new Yervoy drug.

- Sprint is no closer to profitability this quarter, as losses were more than twice the expected amount. Net adds were stable on a sequential basis, and overall customers grew by 4M on a y/y basis. In addition, Spring signed a huge 15-year, $13B deal with LightSquared to build and manage a 3G/4G network for the new wireless communications firm. Consumer products firms Kellogg and Colgate both offered solid results, meeting expectations and reaffirming guidance.

- The euro rolled into the New York session heading lower against the major pairs as peripheral spreads widened out once again, causing technical damage on the charts. EUR/USD ducked below 1.4330 and the subsequent break of the 200-hour moving average elected stops as the pair proceeded to test 1.4255. The situation settled down with renewed rumors that the ECB might be purchasing peripheral debt (something that has not been done since the end of Q1). The reality of the US debt ceiling situation was highlighted by the Russian Central Bank, which stated that it had no plans to adjust its portfolio rapidly even in event of US debt default as investors might chose to reduce risks by placing even more funds into Treasuries as there are no safe havens in emerging markets.


***Looking Ahead***

- 12:45 (US) Fed's Lacker speaks on economy in Chantilly, Virginia
- 13:00 (US) Treasury to sell $29.0B in 7-Year Notes
- 14:30 (US) Fed's Williams speaks in Salt Lake City
- 15:00 (AR) Argentina Jun Supermarket Sales Y/Y: No est v 14.0% prior
- Approx 18:00 (US) House vote on Debt Ceiling plan expected