Market Update

USD TWI not able to break 50-day MA after the disappointing trade balance yesterday.

Bernanke’s Humphrey-Hawkins Act Testimony today is important: What we see is a relatively strong labor market, housing market and a generally high level of economic activity. Rate cuts can be ruled out for now.

Emerging Market Currencies look strong, as do stocks.

Fixed Income again edging lower, todays new lows. Bunds look really weak.

Gold aim to clear 676 resistance levels.

Crude Oil Support 57.36 & Resistance 59.36.
Crude & Gasoline Inventories are not expected to provide any surprises, although keep an eye on distillates. A draw of 4000K is expected.
50 Day mvg combined with lower daily highs warn of a correction.