Courtesy of Doug Short.
Today’s Chicago PMI and Pending Home Sales did little to move the market. The S&P 500 hit its 0.17% intraday high 45 minutes into the session, and then spent the rest of the day in a narrow trading range. How narrow? The 0.31% spread between the high and low was at the 2nd percentile of the 124 market days in 2014. A bit of selling in the final minutes took the index to its -0.04% close, which is 0.14% below its closing high on June 20th.
Tomorrow’s ISM Manufacturing PMI, barring a major surprise, will likely cause little market reaction in this holiday-shortened week. The major economic release with a potential to trigger some volatility is the Employment Report for June, which will be released a day earlier than usual on Thursday.
The yield on the 10-year note ended the day at 2.53%, down 1 bp from Friday’s close. It is now 9 bps above its interim closing low of May 28th.
Here is a chart of the past five sessions. I’ve highlighted the level of the June 20th record close.
Here is a daily snapshot of the SPY ETF, where volume was in the summer doldrums.
For a longer-term perspective, here is a pair of charts based on daily closes starting with the all-time high prior to the Great Recession.
