We had a positive day today as most of our positions traded in our favor. Just like we pointed out in last night’s update, today’s session saw wider trading ranges on the back of the monthly CPI report. The big difference this month is the markets were much more resilient in the face of higher inflation numbers. I, like most, expect to see high inflation numbers over the next several months – I don’t expect the Fed to change their policy stance one bit, which should mean higher prices for risk assets. Looking at our individual positions, I liked how our 10Y Notes (ZN) and S&P (ES) long positions both traded higher. If you paid close attention to our ES position today, you may have noticed we came within 1.50 points from being stopped out – sometime, it’s better to be lucky than good. :)
We’ve got a setup to flip HO short tonight. Canceling out the KC order that didn’t fill.