WallStreet: Dow Jones, SP500, Nasdaq all down; 'mild bloodbath'

According the the latest wires, via CNN, Fed's Dudley indicates that 'fairly soon' means in the 'near future' then March could be off the table to expect a 'sooner rather than later' hike by the Federal Reserve. As of writing, Fedwatch probability reads 39.90% which translate in a decent value for something almost impossible.

US indexes ended on a mixed note as the Dow Jones Industrial Average clocked 20,812.24, down -0.12% or -25.20 points, then the always active SP500 also down -0.26% or -6.11 points ending at 2,363.64 and finally, the tech heavyweight Nasdaq got hit too at -0.62% or -36.46 points to settle the score at 5,825.24 on the last trading hour.

On the FX front, the dollar collected 'surprises' in the foreign exchange battlefield as the American dollar vs. Japanese Yen recovered 100-pips on the last hour of the NA trading session. The USD/MXN exotic banked another positive session at 20.09, up on the day +0.93% or 1874-pips. On the other hand, commodity-linked currencies as USD/CAD, AUD/USD, and NZD/USD experienced the same faith when the greenback took all of them by storm clocking 100-pips across the board.

DXY inter-markets: not so ‘phenomenal’

Turning to market volatility and leading indicators via yields, the iPath SP500 VIX Short-term Futures or VXX, clocked +2.06% or +0.37 at 18.35 compared to 23.70 at the beginning of January which indicates the level of 'comfort' market participants seem to enjoy lately. On the other hand, US yields experienced an interesting trading session that traders visualized on the US dollar Index and US pairs, when the US 10yr treasury yields traded from 2.39% to 2.33%, 'a last minute recovery' up +1.05% on the day at 2.38% or +0.0249.

On the commodity front, Gold spot ended on a positive note at $1258 as the shiny metal clocked a high near $1258 not too far from challenging the 200-DMA. Then, Silver spot ended on green pastures near $18.33 which translates into 5-consecutive trading sessions where prices close above the 200-DMA. From this level, the 'poor man's gold' could target to the upside $18.80 (high Nov. 11) and above that $19.25 (high Oct.3). Later, WTI traded lower at $53.96 after printing a high near $54.21 and still, kept trading above the 50-DMA which is the critical support near $53.10.

Forex today: wait and see what Trump delivers