I'm noting E-mini futures posting gains for a third straight session above 6,000.0 as the intramonth lows were rejected, risk assets recorded the best day in months on January 15th. Month-to-date, we're looking at the S&P 500 Index rising 3.4%, what's odd is European stocks outperform U.S. stocks so far this year
There is little room to test the all-time-highs seen last December, however, a quick seasonal check dating 10yrs of history show risk assets don't usually move north during this part of the year. Typically, the S&P 500 Index trades range bound from January to May.
While seasonal patterns are not the only indicator to keep in mind. The narrative goes in line with a Federal Reserve that is not expected to ease much further and the new U.S. administration posing a threat to global trade.
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