Stocks are pointing lower today, with the S&P 500 futures lower by more than 1%. Meanwhile, Germany is falling by about 2%, along with weakness across most of Asia, which gave back earlier gains.
There will be a lot of important economic data this morning with the big second-quarter GDP print, and initial claims. Estimates for GDP are a decline of 35% annualized, while initial claims are forecast at 1.388 million. Germany saw its second-quarter GDP decline by 10.1% versus last quarter, which was worse than estimates for a 9% drop. Additionally, the unemployment rate came in better at 6.4% versus forecasts for 6.5%.
S&P 500
The significant critical level to watch in the S&P 500 is around 3,200, which gives the index plenty of room, currently trading at 3,220.
NASDAQ
The NASDAQ futures are in a tighter spot, with very little room to spare. Should the futures fall below 10,400, the Nasdaq would have successfully broken the uptrend, and that is likely to trigger much more selling.
10-Year
The 10-Year yield is falling to 55 basis points, and that is a technical level as it has served as support multiple times. I fear breaking this level sends yields sharply lower.
Copper
Copper prices are essential too, and as long as we stay above $2.87, we should be ok, but a break of $2.87, opens the selling flood gates, and that is bad for the risk-on sentiment.
Micron
Micron (NASDAQ:MU) is sitting on support today around $49.80 with a break of that trigger the stock can decline to $45.50.
Disney
Disney is very close to falling below support at $114.60, which would trigger a decline to around $109.
Boeing
Boeing (NYSE:BA) is again testing support around $165, with a break of that support level resulting in a decline to $154.
