Federal Reserve

U.S. benchmarks are sharply off Friday’s closing levels, and this should come as no surprise. As we discussed, all too often we’ve seen Nonfarm Payroll gains dissipate at the onset of a new week.
We’ve been calling for a choppy start to May as the market digests April’s gains, and Monday’s soft close alluded to many investors broadly taking the same approach. 
Every time it looks like a recovery in gold prices is coming, it rolls back over. In reality, this market has been sideways with a slightly downward slope for the past 6 months.
Doves flew yesterday as the Federal Reserve reiterated steadfast support for the economy and that it’s not yet thinking about tapering its unprecedented asset purchases.
U.S. benchmarks finished last week strongly and are clinging to those gains at the onset of a new one. In a jam-packed week ahead, we look to the Federal Reserve’s policy decision Wednesday and earnings from the 6 largest companies by market cap in the U.S. 
This week’s economic calendar will not test last week’s supportive footprint until Friday’s Flash PMIs, but we dive headfirst into earnings season and hear from both the Bank of Canada and the ECB ahead of next week’s FOMC meeting.
An impressive rally in gold this week takes out key resistance levels and, potentially, a very positive weekly close.
Fed Chair Powell has continued to emphasize his rhetoric that an acceleration in inflation through the summer is only expected to be transitory due to expected base data. Still, we didn't want to see the data run away and bring cause for policy to be reactionary.
U.S. benchmarks were pointing higher this morning ahead of both the bell and a long weekend. Tomorrow brings Nonfarm Payroll, but the NYSE is closed and index futures only trade through 8:15 a.m. CT due to the Good Friday holiday.
Constructive hold of support early in Thursday's session set the stage for a friendly Friday. This undeniably brought bullish technical tailwinds due to seller’s exhaustion, shorts covering, and fresh buying hitting the tape. Remember, this is a bull market.