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 Post subject: *April 30th Wednesday Trade Results - Profit $2450.00
PostPosted: Thu May 01, 2014 4:40 am 
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Trade Results of M.A. Perry
Trader and Founder of WRB Analysis (wide range body/bar analysis)
Price Action Trading (no technical indicators)
Phone: +1 708 572-4885
Free Chat Room: http://www.thestrategylab.com/tsl/forum/viewforum.php?f=164
Business Hours: 8am - 5pm est (Mon - Fri)
questions@thestrategylab.com (24/7)
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click on the above image to view today's performance verification

Price Action Trade Performance for Today: Emini TF ($TF_F) futures @ $2,450.00 dollars or +24.50 points, Emini ES ($ES_F) futures @ $0.00 dollars or +0.00 points, Light Crude Oil CL ($CL_F) futures @ $0.00 dollars or +0.00 points, Gold GC ($GC_F) futures @ $0.00 dollars or +0.00 points and EuroFX 6E ($6E_F) futures @ $0.00 dollars or +0.0000 ticks. Total Profit @ $2,450.00 dollars

Russell 2000 Emini TF Futures: 1 tick or 0.10 = $10.00 dollars and there's more contract information @ The ICE
S&P 500 Emini ES Futures: 1 tick or 0.25 = $12.50 dollars and there's more contract information @ CMEGroup
Light Crude Oil CL (WTI) Futures: 1 tick or 0.01 = $10.00 dollars and there's more contract information @ CMEGroup
Gold GC Futures: 1 tick or 0.10 = $10.00 dollars and there's more contract information @ CMEGroup
EuroFX 6E Futures: 1 tick or 0.0001 = $12.50 dollars and there's more contract information @ CMEGroup

In addition, all of my trades were posted real-time in the timestamp ##TheStrategyLab chat room. You can read today's price action trading information about my trades (e.g. time, price entry, contract size, price exit) as the trade traversed to its completion. Also, sometimes I'll post real-time trading tips involving WRBs, WRB Hidden GAPs, Key Market Events (KME), Tutorial Chapters 2 & 3, WRB Zones, Reaction Highs/Lows, Contracting Volatility or Expanding Volatility. Its all archived @ http://www.thestrategylab.com/ftchat/forum/viewtopic.php?f=129&t=1782

Quote:
If any of my real-time posted trades are via key concepts discussed in the WRB Analysis free study guide or the Fading Volatility Breakout (FVB) free trade signal strategy...I will discuss the reasons (trade strategy) behind those trades if/when a user of ##TheStrategyLab chat room ask questions about the trades. In contrast, real-time posted trades that are via the Advance WRB Analysis Tutorial Chapters 4 - 12 or the Volatility Trading Report (VTR) trade signal strategies...I discuss the reasons (trade strategy) behind those trades with fee-base clients in a different private chat room that's designated only for fee-base clients or discuss the strategies with fee-base clients on my Skype contact list.

Also, posted below are direct links to information about my price action trade methodology and trading plan (there's a difference between the two) that enables me to identify key trading areas in the price action that represent changes in supply/demand and volatility along with being able to exploit these changes via WRB Analysis (wide range body/bar analysis). I'm primarily a day trader because it suits my personal lifestyle but I do occasionally swing trade and position trade. Simply, my trade method is applicable for position trading, swing trading and day trading.

Image ##TheStrategyLab Chat Room is free. Members and I use the chat room to post WRB Analysis commentary, real-time trades and to post anything else related to trading. The chat room helps me tremendously in my own trading because I use it to document (journal) general volatility analysis involving WRB Analysis so that I can easily review at a later date my thoughts as I interacted with the markets...info I can not get from my broker statements. Also, this is not a signal calling chat room where a head trader tells you when to buy or sell and I do not have the time/energy/resources to manage a signal calling chat room. Access instructions for chat room @ http://www.thestrategylab.com/tsl/forum/viewforum.php?f=164

Image Price Action Analysis via WRB Analysis Tutorials @ http://www.thestrategylab.com/WRBAnalysisTutorials.htm and there's a free study guide of the WRB Analysis Tutorial Chapters 1, 2 and 3 @ http://www.thestrategylab.com/tsl/forum/viewtopic.php?f=119&t=718

Image Trade Signal Strategies via Volatility Trading Report (VTR) @ http://www.thestrategylab.com/VolatilityTrading.htm and there's a free trade signal strategy @ http://www.thestrategylab.com/tsl/forum/viewforum.php?f=89 so that you can freely test drive one of our price action trade strategies with support (answering your questions) prior to purchasing the Volatility Trading Report (VTR).

Image Trading Plan Daily Routine @ http://www.thestrategylab.com/tsl/forum/viewtopic.php?f=236&t=2302

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Market Context Summaries

The below summaries by Bloomberg, CNNMoney, Reuters and Yahoo! Finance helps me to do a quick review of the fundamentals, FED/ECB/BOE/IMF actions or any important global economic events (e.g. Eurozone, MarketWatch.com) that had an impact on today's price action in many trading instruments I monitor during the trading day. Simply, I'm a strong believer that key market events causes key changes in supply/demand and volatility resulting in trade opportunities (swing points and strong continuation price actions) that reach profit targets. Thus, I pay attention to these key market events, intermarket analysis (e.g. Forex EurUsd, EuroFX 6E futures, Gold GC futures, Light Crude Oil (WTI) CL & Brent Oil futures, Eurex DAX futures, Euronext FTSE100 futures, Emini ES futures, Emini TF futures, Treasury ZB futures and U.S. Dollar Index futures) while using WRB Analysis from one trade to the next trade to give me the market context for price action trading before the appearance of my technical analysis trade signals. Therefore, I maintain these archives to allow me to understand what was happening on any given trading day in the past involving key market events to help better understand my trade decisions (day trading, swing trading, position trading)...something I can not get from my broker statements alone. Further, most financial websites remove (delete) their archives after a few years to make room for new content. Therefore, I maintain my own archives of the news content so that I have it available for me when financial websites no longer archives their content.

Stocks: Dow Hits All-Time High

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click on the above image to view today's price action of key markets

NEW YORK (CNNMoney)
April ended on a high note today as the Dow Jones industrial average closed at a record high of 16,580.

The Dow's last peak occurred on December 31, so there's something to be said for finally reaching a new level in 2014. The S&P 500 ended just shy of a record close, and the Nasdaq also ended the day higher, though the gains were modest.

Overall, April has been a rough and volatile month, especially for technology stocks. The Nasdaq fell about 2% in the month as investors grew concerned about the valuations of some speculative tech companies. In contrast, the Dow and S&P 500 both ended the month with gains, albeit less than 1%.

Investors yawned at the latest Fed statement on Wednesday afternoon. The Fed announced a reduction in its bond buying program, a key form of economic stimulus, by another $10 billion per month, as expected. What was more encouraging was the Fed sees signs of growth, but still intends to keep interest rates low for some time.

Related: The Fed says the economy is improving a little

Bond yields fell after the Fed statement was released. The 10-year Treasury yields sank to a low of 2.64%, down from 2.71% late Tuesday, although it's difficult to read much into the reaction.

"The Fed made very little change in its policy statement and did exactly what the market thought they would," said Kevin Giddis, head of fixed income at Raymond James.

Meanwhile, economic data released earlier Wednesday highlighted the drag that bad weather put on growth in the first three months of 2014.

U.S. gross domestic product, the broadest measure of the economy, grew at just a 0.1% annual pace in the first quarter, the U.S. Bureau of Economic Analysis said. Economists had anticipated that winter weather would take a toll on growth, but the result was worse than most forecasts.

But not all the morning's economic news was bad. Payroll processor ADP (ADP, Fortune 500) said the private sector added 220,000 jobs in April. That's the strongest job growth since November.

Related: U.S. economy slows to stall-speed

Twitter tanks

Social media stocks were in focus after Twitter (TWTR) posted uninspiring first quarter results late Tuesday. Twitter shares sank more than 9% as investors worried about user growth on the micro blogging site.

Twitter was the top trending ticker on StockTwits, where traders were debating the company's valuation.

"Twitter still has huge potential & we are all using it, but it is already $21Bn company. A lot is priced in. It needs to show higher growth," read a post by ivanhoff.

Related: Twitter is not the 'next Facebook'

Some traders were bracing for even more downside in Twitter shares next week, when the post-IPO lock up period expires and company insiders are allowed to sell.

"$TWTR It will be ugly when the lockup expires Monday," said hedgesauce.

Facebook (FB, Fortune 500) shares fell in early trading, but bounced back as the day wore on.

"$FB glad to see this detaching itself from $TWTR," said Jweaves.

Energizer (ENR)shares jumped after the battery company announced plans to split into two companies, one for Energizer batteries and other household products and another for personal care brands such as Schick and Playtex.

In other corporate news, CNNMoney parent Time Warner (TWX, Fortune 500) reported earnings and sales that topped forecasts, helped by strong revenue from the Lego movie.

But shares of Dreamworks (DWA) plunged after it reported a quarterly loss driven largely by the box office flop of Mr. Peabody & Sherman.

Shares of Royal Dutch Shell (RDSA) rose after the oil giant reported better-than-expected quarterly results and hiked its dividend. Other mega enery companies are set to release their results later this week.

eBay (EBAY, Fortune 500) shares declined a day after the online marketplace reported disappointing earnings. It's one of the biggest losers of the day among S&P 500 companies and the second-worst performer in CNNMoney's Tech 30 index.

More merger mania

It's been a big week for merger talk. While nothing is quite as large as $100 billion that Pfizer (PFE, Fortune 500)is willing to pay to acquire AstraZeneca (AZN), there are other deals in the work. Exelon (EXC, Fortune 500) agreed to acquire rival utility Pepco Holdings (POM, Fortune 500) in a $6.8 billion all-cash deal.

Takeover talk continues overseas, with shares of French company Alstom rallying 8% in Europe after General Electric (GE, Fortune 500) bid $13.5 billion to take over the firm's power divisions. German firm Siemens (SI) may make a counter offer as well.

European and Asian markets ended with mixed results.

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4:15 pm: [BRIEFING.COM] Equity indices spent some time on either side of their respective flat lines on Wednesday, but when the dust settled, they ended with modest gains. The Dow Jones Industrial Average, S&P 500, and Nasdaq all added 0.3%, with the Dow registering a new record closing high at 16,580.84, which represented its first green close for the year.

Today's session featured another heavy dose of earnings and a full slate of economic data. Prior to the open, index futures jumped in reaction to a better-than-expected ADP Employment report, but promptly surrendered those gains when it was reported that GDP increased a puny 0.1% in the first quarter (Briefing.com consensus 1.0%).

The disappointing report ensured a lower start for the major averages, but they only took one more step down before forging a rebound on the back of the industrial sector (+0.5%), which drew strength from transports. The Dow Jones Transportation Average jumped 0.7%, bolstered by above-consensus earnings reported by C.H. Robinson (CHRW 58.90, +2.91).

The S&P 500 and Dow were able to reclaim their flat lines within the first hour of action, while the Nasdaq remained in the red a bit longer as biotechnology and high-beta tech names weighed.

After clawing back to unchanged, the key indices maintained narrow ranges until the Federal Open Market Committee released its latest policy statement, which called for another $10 billion reduction to monthly asset purchases, lowering the total to $45 billion.

There were few changes overall in the language the FOMC used to communicate its stance. One switch came in the opening sentence as the committee acknowledged that growth in economic activity has picked up recently, after having slowed sharply during the winter in part because of adverse weather conditions. In March, the directive stated that "growth in economic activity slowed during the winter months, in part reflecting adverse weather conditions."

What that opening sentence, and the decision to cut another $10 billion from its monthly asset purchases implied, was that the FOMC is clearly expecting pent-up demand to shine through in the second quarter and to overshadow the feeble 0.1% GDP growth rate for the first quarter.

In any event, equity indices gyrated a bit following the release, but climbed to new session highs into the close. The late-afternoon move allowed the Nasdaq to catch up to its peers, while also giving a boost to biotechnology. The iShares Nasdaq Biotechnology ETF (IBB 230.25, +1.16) gained 0.5%, while the broader health care sector (+0.1%) underperformed amid weakness in Express Scripts (ESRX 66.58, -4.43) after the company reported disappointing quarterly results.

The post-FOMC move also lifted some of the high-beta tech names off their lows, but shares of Twitter (TWTR 38.97, -3.65) still finished at a new all-time low after reporting its quarterly results. The stock tumbled 8.6% after Twitter's disappointing user growth overshadowed its above-consensus earnings.

On the downside, the energy sector (-0.01%) ended just below its flat line, but still finished April ahead of the remaining nine groups with a gain of 5.1%.

Treasuries retreated overnight, but reversed course following this morning's GDP report. The 10-yr note advanced 12 ticks, pressuring its yield four basis points to 2.65%.

Boosted by month-end flows, trading volume was above average as 892 million shares changed hands at the NYSE floor.

Reviewing today's data:
Related Stories

InPlay from Briefing.com Briefing.com
S&P 500 Rises for Fourth Session; Dow Drops The Wall Street Journal
Nasdaq, S&P 500 On Track For Sixth Straight Gain Investor's Business Daily
Stocks Back Out Of Early Gains; SanDisk, Chipotle Rise Investor's Business Daily
US STOCKS SNAPSHOT-Wall St ends down, with Nasdaq below 4,000 Reuters

The ADP Employment report indicated that employment in the nonfarm private business sector rose by 220K in April, which was above the increase of 215K expected by the Briefing.com consensus.
Q1 GDP increased 0.1% quarter-over-quarter, which represented the lowest quarterly increase since GDP rose by the same amount in Q4 2012. The Briefing.com consensus expected GDP to increase 1.0%. Many analysts over the last couple months have theorized that the softness in the first quarter is the result of extreme winter weather conditions. In our opinion, economic growth has tended to slow during the first half of the year for the past several years. The slowdown in Q1 2014 was not extraordinary and we do not expect a snap back from pent up demand to occur immediately in Q2 2014.
Manufacturing activities in the Chicago region rebounded in April as the Chicago PMI jumped to 63.0 from 55.9 that was reported in March. That was the strongest reading since the index reached 66.6 in October. The Briefing.com consensus expected the PMI to increase to 56.5. The increase in the Chicago PMI was predicated on a large boom in production. The production index jumped to 70.5 in April from 61.7 in March. More importantly, a solid increase in order backlogs (54.9 from 50.4) is likely to keep upward pressure on production growth over the next few months.
The weekly MBA Mortgage Index fell 5.9% to follow last week's decline of 3.2%.

Tomorrow, the Challenger Job Cuts report for April will be released at 7:30 ET, while weekly initial claims, March Personal Income, Personal Spending, and core PCE Prices will all be reported at 8:30 ET. March Construction Spending and the April ISM Index will both be released at 10:00 ET, while auto and truck makers will be reporting their April sales throughout the day.

S&P 500 +1.9% YTD
Dow Jones Industrial Average +0.03% YTD
Nasdaq Composite -1.5% YTD
Russell 2000 -2.9% YTD

3:30 pm: [BRIEFING.COM]

June gold traded in the red for most of today's floor trade as investors awaited the release of the FOMC's latest policy statement at 14:00ET.
The yellow metal popped to a session high of $1297.50 per ounce after it was reported that Q1 GDP rose by just 0.1% vs a 1.0% increase expected by the Briefing.com consensus, but quickly fell back into negative territory.
It gained some momentum heading into the close and settled at $1296.00 per ounce, just 20 cents below the unchanged line.
July silver pulled back from its session high of $19.44 per ounce set in early morning action and traded as low as $19.08 per ounce. Unable to find buying support, it settled with a 1.9% loss at $19.16 per ounce.
June crude oil fell for the first time in three sessions as the EIA reported that inventories for the week ending April 25 gained 1.698 mln barrels to a total of 399.4 mln barrels, the highest level since the EIA began reporting data in 1982.
Consensus called for a build of 2.1-2.4 mln barrels. The energy component dipped to a session low of $99.34 per barrel and eventually settled at $99.78 per barrel, or 1.5% lower.
June natural gas rallied to a session high of $4.85 per MMBtu in afternoon action after trading as low as $4.75 per MMBtu in the session. It sold off back into the red as it headed into the close and settled with a 0.2% loss at $4.82 per MMBtu.

3:00 pm: [BRIEFING.COM] The major averages have climbed to fresh highs with one hour remaining in the session. The S&P 500 now trades higher by 0.3% with all ten sectors showing gains. Industrials (+0.7%) and materials (+0.8%) have held the lead since the late morning, and the two groups remain well ahead of the other sectors.

Also of note, the Dow has now climbed above its 2013 closing high of 16,576.66, and if the price-weighted index settles above that level, it will post its first year-to-date in 2014.

Elsewhere, Treasuries have accompanied stocks to fresh highs, sending the 10-yr yield lower by four basis points to 2.65%.

2:30 pm: [BRIEFING.COM] Equity indices have inched up from their recent levels, but the reaction to FOMC statement has been fairly muted. Overall, the policy statement that crossed the wires 30 minutes ago did little to rock the boat and was very similar to previous directives.

While stocks, Treasuries, and the dollar held their levels, gold futures tumbled into the red in a bit of a delayed reaction. Currently, gold futures are lower by 0.4% at $1291.00/ozt.

Also of note, the Russell 2000 (+0.1%) has inched to a fresh session high, narrowing its week-to-date loss to 0.2%.

2:05 pm: [BRIEFING.COM] The Federal Open Market Committee has just released its latest policy statement, which calls for a $10 billion reduction to asset purchases, lowering the monthly total to $45 billion. In addition to the tapering announcement, the statement said economic activity picked up since the last meeting, with consumer demand rising 'more quickly.'

Equity indices saw little initial change as the S&P 500 slipped back to its flat line after trading two points above that level prior to the release.

Treasuries, meanwhile, held their levels, with the benchmark 10-yr yield staying at 2.66%.

With regard to precious metals, gold futures held their ground after trading flat just ahead of the release. The yellow metal currently trades near $1295.60.

1:30 pm: [BRIEFING.COM] The S&P 500 has returned to its early high as the release of the latest FOMC policy statement nears at the top of the hour.

Notably, the industrial sector (+0.5%) has played a significant part in recent move higher by climbing to a fresh session high of its own. A glance into the sector reveals outperformance among transports after C.H. Robinson (CHRW 59.71, +3.72) beat bottom-line estimates on light revenue. The stock trades higher by 6.6%, while the broader Dow Jones Transportation Average trades up 0.6%.

On a separate note, Treasuries are going into the FOMC announcement near their best levels of the session. The 10-yr note is higher by eight ticks with its yield down three basis points at 2.66%.

1:00 pm: [BRIEFING.COM] At midday, the Dow Jones Industrial Average (+0.1%) and S&P 500 (+0.1%) trade little changed, while the Nasdaq Composite (-0.1%) lags amid the underperformance in biotechnology and social media names.

Equity indices began the trading day on the defensive after it was reported that first quarter GDP rose a measly 0.1% versus a 1.0% increase expected by the Briefing.com consensus. The disappointing report overshadowed a better-than-expected ADP Employment reading for April, which crossed the wires 15 minutes ahead of the GDP report.

Despite the lower start, the S&P 500 found support right below the 1873 level during the initial 30 minutes of action before heading back to its flat line. Although the benchmark index recovered swiftly, it has been unable to pull away from its unchanged level for the past two hours. In all likelihood, the index will remain anchored to its flat line until the Federal Reserve releases its latest policy statement at 14:00 ET. The statement is expected to reduce the size of monthly asset purchases by another $10 billion to $45 billion, but the accompanying commentary will surely receive added scrutiny.

The wait-and-see approach is apparent among the four largest groups as they all trade within 0.2% of their respective flat lines. Consumer discretionary and financials are little changed, while technology (+0.2%) holds a slim gain. Elsewhere, the health care sector (-0.2%) lags as biotechnology weighs.

The iShares Nasdaq Biotechnology ETF (IBB 227.63, -1.46) is lower by 0.6% as it contends with its 20-day moving average (226.52). Also of note, a large health care component, Express Scripts (ESRX 66.77, -4.24) weighs on the sector after missing earnings estimates and issuing disappointing guidance.

The relative weakness of biotechnology has kept the Nasdaq in the red as the index also endures losses among high-beta tech names after Twitter (TWTR 38.25, -4.37) beat earnings estimates, but reported disappointing user growth. Twitter, which trades down 10.4%, has dropped to a fresh all-time low, while the likes of LinkedIn (LNKD 151.54, -1.69) and Yelp (YELP 56.46, -2.46) hold respective losses of 1.1% and 4.2%.

Treasuries are on their highs with the 10-yr yield down three basis points at 2.66%.

Reviewing today's data:

The ADP Employment report indicated that employment in the nonfarm private business sector rose by 220K in April, which was above the increase of 215K expected by the Briefing.com consensus.
Q1 GDP increased 0.1% quarter-over-quarter, which represented the lowest quarterly increase since GDP rose by the same amount in Q4 2012. The Briefing.com consensus expected GDP to increase 1.0%. Many analysts over the last couple months have theorized that the softness in the first quarter is the result of extreme winter weather conditions. In our opinion, economic growth has tended to slow during the first half of the year for the past several years. The slowdown in Q1 2014 was not extraordinary and we do not expect a snap back from pent up demand to occur immediately in Q2 2014.
Manufacturing activities in the Chicago region rebounded in April as the Chicago PMI jumped to 63.0 from 55.9 that was reported in March. That was the strongest reading since the index reached 66.6 in October. The Briefing.com consensus expected the PMI to increase to 56.5. The increase in the Chicago PMI was predicated on a large boom in production. The production index jumped to 70.5 in April from 61.7 in March. More importantly, a solid increase in order backlogs (54.9 from 50.4) is likely to keep upward pressure on production growth over the next few months.
The weekly MBA Mortgage Index fell 5.9% to follow last week's decline of 3.2%.

12:30 pm: [BRIEFING.COM] Quiet early afternoon action continues with activity expected to kick into high gear when the Fed releases its latest policy statement at 14:00 ET.

For the time being, the S&P 500 (+0.1%) hovers right above its flat line as six sectors display gains between 0.1% (telecom services) and 0.6% (materials), while four groups hold losses of no more than 0.3%. The energy sector is the weakest performer of the day as the growth-sensitive group battles the utilities space for the top spot on the April leaderboard. Including its current loss, the energy sector holds an April gain of 4.7% versus a 4.5% month-to-date increase for the utilities sector.

12:00 pm: [BRIEFING.COM] Not much change has taken place since our last update as the major averages appear to be in a holding pattern ahead of the latest policy statement from the Federal Reserve, which will be released at 14:00 ET.

Although the upcoming statement is expected to call for another $10 billion reduction to monthly asset purchases (lowering the total monthly amount to $45 billion), participants are likely to comb through the narrative in search of commentary on the fed funds rate.

Interestingly, even though the S&P 500 has not gone anywhere in the past 90 minutes, Treasuries have extended their gains, pressuring the benchmark 10-yr yield down to 2.66%.

11:30 am: [BRIEFING.COM] The Dow (+0.04%) and S&P 500 (-0.03%) continue hovering near their respective flat lines, while indices that contain a significant share of small cap listings continue underperforming.

A similar dynamic is also being conveyed by the technology sector, which currently trades flat. Many of the largest sector components like Apple (AAPL 597.26, +4.93), IBM (IBM 195.85, +0.74), Oracle (ORCL 40.52, +0.41), and SAP (SAP 80.35, +0.89) display solid gains, while higher-beta names underperform. On that note, Pandora (P 23.27, -0.65), Twitter (TWTR 38.40, -4.22), and Yelp (YELP 56.27, -2.65) are down between 2.7% and 9.8%.

Elsewhere among influential sectors, health care and financials trade flat, while consumer discretionary (-0.3%) lags. Shares of eBay (EBAY 51.86, -2.68) have contributed to the underperformance as the stock trades lower by 4.9% after its cautious guidance overshadowed its above-consensus results.

10:55 am: [BRIEFING.COM] The major averages have climbed off their lows, with the S&P 500 (+0.1%) inching into the green, while the Nasdaq Composite (unch) continues underperforming.

Looking at individual sectors reveals no change at the top of the leaderboard as the utilities sector trades higher by 0.5%, extending its April gain to 4.6%. The rate-sensitive group is now tied with the energy sector (-0.6%) for the top spot in April standings.

Outside of utilities, materials (+0.5%) and industrials (+0.5%) also trade ahead of the broader market, while consumer staples (unch) lag.

Even though stocks have climbed to fresh highs, so have Treasuries. The benchmark 10-yr yield is now lower by two basis points at 2.67%.

10:35 am: [BRIEFING.COM]

Commodities were weak ahead of this morning's GDP data and remain weak in current trade
Immediately following the GDP data, gold temporarily erased its losses, silver erased some, as it rallied following a weak GDP number (GDP rose 1% q/q)
This was short-lived and precious metals reversed and are now weak with most other commodities
Gold, silver, copper, crude oil and natural gas futures are all sitting just above the current lows for the day
Ahead of the weekly EIA inventory data, June crude oil was down 1.8% at $99.50/barrel.
Following the data, June crude oil rose modestly and is now -1.5% at $99.79/barrel.
June gold is currently -0.6% at $1288.30/oz, while July silver is -2.2% at $19.11/oz. July copper is -1.1% at $3.04/lb.
June natural gas is currently -1.5% at $4.76/MMBtu

10:00 am: [BRIEFING.COM] High-beta names continue showing weakness, putting the Nasdaq Composite (-0.7%) on the defensive, while the Dow Jones Industrial Average hovers in the vicinity of its flat line.

Social media names are among noteworthy laggards after Twitter (TWTR 37.30, -5.32) reported its quarterly results last evening. Although the company beat earnings and revenue estimates, the reported user growth disappointed investors. The weakness appears to have spilled over to other internet stocks like Facebook (FB 57.24, -0.91) and Yelp (YELP 55.54, -3.38). Facebook holds a loss of 1.5%, while Yelp trades down 5.6% ahead of its quarterly results, scheduled to be announced this evening.

Elsewhere, Treasuries have returned into the green, pressuring the benchmark 10-yr yield to 2.68%.

9:45 am: [BRIEFING.COM] The major averages began the session in the red with small caps seeing the largest decline. The Russell 2000 (-0.9%) and Nasdaq Composite (-0.5%) lag, while the S&P 500 trades lower by 0.2% with eight sectors trading in the red.

Heavily-weighted consumer discretionary (-0.3%), financials (-0.2%), and technology (-0.3%) are among the early laggards, while consumer staples (+0.1%), materials (+0.1%), and utilities (+0.5%) outperform modestly.

Treasuries are little changed, with the benchmark 10-yr yield at 2.69%.

Just released, the Chicago PMI for March jumped to 63.0 from 55.9 while the Briefing.com consensus expected an increase to 56.5.

9:16 am: [BRIEFING.COM] S&P futures vs fair value: -2.80. Nasdaq futures vs fair value: -12.80. The stock market is on track to begin today's session on a cautious note as futures on the S&P 500 trade three points below fair value. Index futures retreated overnight, but began climbing as the European session got underway.

The slow climb off the overnight lows was punctuated by a spike into positive territory that took place after today's ADP Employment report indicated that employment in the nonfarm private business sector rose by 220K in April, which was above the increase of 215K expected by the Briefing.com consensus.

Despite the data-driven spike, the newfound strength was short-lived as futures returned into the red following a disappointing advance reading of first-quarter GDP. GDP increased 0.1% quarter-over-quarter, which represented the lowest quarterly increase since GDP rose by the same amount in Q4 2012. The Briefing.com consensus expected GDP to increase 1.0%.

Many analysts over the last couple months have theorized that the softness in the first quarter is the result of extreme winter weather conditions. In our opinion, economic growth has tended to slow during the first half of the year for the past several years. The slowdown in Q1 2014 was not extraordinary and we do not expect a snap back from pent up demand to occur immediately in Q2 2014.

Treasuries spiked to highs in reaction to the data, but have since returned into the middle of their range. The benchmark 10-yr yield is lower by almost one basis point at 2.69%.

The Chicago PMI report for April will be released at 9:45 ET and the FOMC will release its latest policy statement at 14:00 ET.

8:58 am: [BRIEFING.COM] S&P futures vs fair value: -2.40. Nasdaq futures vs fair value: -10.80. The S&P 500 futures trade two points below fair value.

Asian markets ended mixed, with Hong Kong's Hang Seng (-1.4%) trailing the remainder of the region. Elsewhere, the Bank of Japan met overnight, but the subsequent statement was a non-event as the central bank opted to maintain its current policy stance.

Economic data was plentiful. Japan's Manufacturing PMI fell to 49.4 from 53.9 (53.0 expected) and Industrial Production ticked up 0.3% month-over-month (expected 0.5%, prior -2.3%). Separately, Average Cash Earnings increased 0.7% year-over-year (consensus 0.2%, prior -0.1%), Construction Orders fell 8.8% year-over-year (prior 12.3%), and Housing Starts decreased 2.9% year-over-year, as expected (previous 1.0%). South Korea's Industrial Production rose 2.7% year-over-year (expected 3.7%, prior 4.3%), while Retail Sales fell 0.3% month-over-month (consensus 0.5%, prior -3.2%). Singapore's Unemployment Rate increased to 2.1% from 1.8% (expected 1.8%). Australia's Private Sector Credit expanded 0.4% month-over-month, as expected. New Zealand's Building Consents jumped 8.3% month-over-month (expected 2.0%, previous -1.6%), while ANZ Business Confidence slipped to 64.8% from 67.3%.

Japan's Nikkei (+0.1%) eked out a slim gain with help from industrials. Mitsubishi Electric and Komatsu gained 3.1% and 2.6%, respectively.
Hong Kong's Hang Seng (-1.4%) ended near its low amid weakness in blue chip names. Li & Fung lost 2.6% and Tencent Holdings tumbled 5.2%. On the upside, telecom names built on yesterday's gains, with China Unicom climbing 5.9%.
China's Shanghai Composite (+0.3%) posted a modest gain, with support from media names. Zhe Jiang Daily Media surged 8.2%.

Major European indices trade in mixed fashion after a barrage of economic data. Eurozone CPI increased 0.7% year-over-year (consensus 0.8%, prior 0.5%), while Core CPI rose 1.0% (forecast 1.0%, previous 0.7%). Germany's Unemployment count declined 25,000 (expected -10,000, prior -14,000), while the Unemployment Rate held steady at 6.7%, as expected. Also of note, Retail Sales fell 0.7% month-over-month (consensus -0.7%, prior 0.4%) and the year-over-year reading declined 1.9% (expected +1.6%, prior 1.9%). French PPI fell 0.4% month-over-month (expected -0.3%, previous -0.1%), while Consumer Spending rose 0.4% month-over-month (consensus 0.3%, prior -0.1%). Italy's CPI rose 0.6% year-over-year, as expected, while PPI fell 1.6% year-over-year (consensus -1.3%, last -1.4%). Separately, Monthly Unemployment Rate held steady at 12.7% (expected 13.0%). Spain's GDP rose 0.4% quarter-over-quarter, as expected, while the year-over-year reading indicated an expansion of 0.6% (expected 0.5%). Also of note, Retail Sales fell 0.5% year-over-year (expected 0.1%, prior -0.4%).

Among news of note, the euro rallied following the softer-than-expected CPI reading on the belief that the slight miss is not enough to force the European Central Bank into action. Currently, the single currency trades near 1.3860 against the dollar.

Italy's MIB holds a loss of 0.7% amid weakness in financials. Banca Popolare dell'Emilia Romagna, Banco Popolare, and BMPS are down between 1.7% and 3.1%.
In France, the CAC is lower by 0.5% as utilities weigh. GDF Suez and Veolia Environnement hold respective losses of 3.6% and 5.2%. BNP Paribas is also among the laggards, down 4.4%.
Germany's DAX trades up 0.1%. Financials lag, while producers of basic materials outperform. Commerzbank and Deutsche Bank are both down near 1.0%. On the upside, K+S and ThyssenKrupp trade higher by 1.8% and 1.1%, respectively.
Great Britain's FTSE outperforms with a slight gain of 0.2%. Energy names lead, with Royal Dutch Shell and Tullow Oil up 4.4% and 2.8%, respectively. Insurer Admiral Group is the weakest performer, down 3.1%.

8:32 am: [BRIEFING.COM] S&P futures vs fair value: -4.40. Nasdaq futures vs fair value: -15.80. The S&P 500 futures trade four points below fair value.

The advance first quarter GDP report indicated growth of 0.1%, which was worse than the 1.0% increase that had been expected by the Briefing.com consensus. Meanwhile, the fourth quarter GDP Deflator came in at +1.3%, while the Briefing.com consensus expected a reading of +1.8%. The Employment Cost Index rose 0.3%, while the consensus expected an increase of 0.5%.

According to today's ADP National Employment Report, employment in the nonfarm private business sector rose by 220K in April. This was above the increase of 215K expected by the Briefing.com consensus. Also of note, the March reading was revised up to 209,000 from 191,000.

7:56 am: [BRIEFING.COM] S&P futures vs fair value: -2.20. Nasdaq futures vs fair value: -10.00. U.S. equity futures display modest losses amid cautious action overseas. The S&P 500 futures trade two points below fair value.

Reviewing overnight developments:

Asian markets ended mixed. Hong Kong's Hang Seng -1.4%, Japan's Nikkei +0.1%, and China's Shanghai Composite +0.3%.
Economic data was plentiful:
Japan's Manufacturing PMI fell to 49.4 from 53.9 (53.0 expected) and Industrial Production ticked up 0.3% month-over-month (expected 0.5%, prior -2.3%). Separately, Average Cash Earnings increased 0.7% year-over-year (consensus 0.2%, prior -0.1%), Construction Orders fell 8.8% year-over-year (prior 12.3%), and Housing Starts decreased 2.9% year-over-year, as expected (previous 1.0%).
South Korea's Industrial Production rose 2.7% year-over-year (expected 3.7%, prior 4.3%), while Retail Sales fell 0.3% month-over-month (consensus 0.5%, prior -3.2%).
Singapore's Unemployment Rate increased to 2.1% from 1.8% (expected 1.8%).
Australia's Private Sector Credit expanded 0.4% month-over-month, as expected.
New Zealand's Building Consents jumped 8.3% month-over-month (expected 2.0%, previous -1.6%), while ANZ Business Confidence slipped to 64.8% from 67.3%.
In news:
The Bank of Japan met overnight, but the subsequent statement was a non-event as the central bank opted to maintain its current policy stance.

Major European indices trade in mixed fashion. France's CAC -0.4%, Germany's DAX +0.1%, and Great Britain's FTSE +0.2%. Elsewhere, Italy's MIB -0.6% and Spain's IBEX -0.2%.
Looking at economic data:
Eurozone CPI increased 0.7% year-over-year (consensus 0.8%, prior 0.5%), while Core CPI rose 1.0% (forecast 1.0%, previous 0.7%).
Germany's Unemployment count declined 25,000 (expected -10,000, prior -14,000), while the Unemployment Rate held steady at 6.7%, as expected. Also of note, Retail Sales fell 0.7% month-over-month (consensus -0.7%, prior 0.4%) and the year-over-year reading declined 1.9% (expected +1.6%, prior 1.9%).
French PPI fell 0.4% month-over-month (expected -0.3%, previous -0.1%), while Consumer Spending rose 0.4% month-over-month (consensus 0.3%, prior -0.1%).
Italy's CPI rose 0.6% year-over-year, as expected, while PPI fell 1.6% year-over-year (consensus -1.3%, last -1.4%). Separately, Monthly Unemployment Rate held steady at 12.7% (expected 13.0%).
Spain's GDP rose 0.4% quarter-over-quarter, as expected, while the year-over-year reading indicated an expansion of 0.6% (expected 0.5%). Also of note, Retail Sales fell 0.5% year-over-year (expected 0.1%, prior -0.4%).
Among news of note:
The euro rallied following the softer-than-expected CPI reading on the belief that the slight miss is not enough to force the European Central Bank into action.

In U.S. corporate news:

Express Scripts (ESRX 67.00, -4.01): -5.7% after missing earnings estimates and guiding below consensus.
eBay (EBAY 52.15, -2.39): -4.4% after its cautious second-quarter guidance overshadowed its bottom-line beat.
Garmin (GRMN 58.04, +2.95): +5.4% following its earnings and revenue beat.
Genworth Financial (GNW 18.09, +0.70): +4.0% after beating earnings estimates on below-consensus revenue.
Twitter (TWTR 37.10, -5.52): -13.0% after its disappointing user growth overshadowed its earnings and revenue beat.
Pepco Holdings (POM 26.70, +3.91): +17.2% after Exelon (EXC 36.18, 0.00) agreed to acquire the company for $27.25 per share, representing a 19.6% premium to yesterday's closing price.

The weekly MBA Mortgage Index fell 5.9% to follow last week's decline of 3.2%.

The ADP Employment Change for April (Briefing.com consensus 215,000) will be announced at 8:15 ET; the advance reading of Q1 GDP (Briefing.com consensus 1.0%) will be released at 8:30 ET; and the Chicago PMI report (consensus 56.5) for April will cross the wires at 9:45 ET. Finally, the Federal Open Market Committee will release its latest policy directive at 14:00 ET.

6:48 am: [BRIEFING.COM] S&P futures vs fair value: -3.50. Nasdaq futures vs fair value: -12.50.

6:48 am: [BRIEFING.COM] Nikkei...14304.11...+15.90...+0.10%. Hang Seng...22133.97...-319.90...-1.40%.

6:48 am: [BRIEFING.COM] FTSE...6779.71...+9.80...+0.10%. DAX...9577.89...-6.20...-0.10%.

Special thanks to Bloomberg, CNNMoney, Reuters and Yahoo! Finance for their market summaries. gm

Best Regards,
M.A. Perry
Trader and Founder of WRB Analysis (wide range body/bar analysis)
Image@ http://twitter.com/wrbtrader Image@ http://stocktwits.com/wrbtrader

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