Directional Bias For The Day:

• S&P Futures are higher at 8:30 AM. Futures broke below a sidewyas move since 3:30 AM between 4420.50 and 4428.00
• The odds are for a sideways to down day – watch for a break above 4428.00 and a break below 4414.00 for clarity
• The major economic data report due during the day:
  • CPI m/m ( 0.1% vs. 0.2% est.; prev. 0.4%) at 8:30 AM
  • Core CPI m/m ( 0.4% vs. 0.4% est.; prev. 0.4%) at 8:30 AM
  • CPI y/y (4.0% vs. 4.1% est.; prev. 4.9%) at 8:30 AM

Directional Bias Before Open:

Key Levels:

• Critical support levels for S&P 500 are 4363.56, 4356.12, and 4349.31
• Critical resistance levels for S&P 500 are 4375.37, 4385.83, and 4407.74
• The key levels for E-mini futures are 4428.00, the high at 4:45 AM, and 4414.00, the low at 2:45 AM

Pre-Open

• On Tuesday at 4:00 PM, S&P futures (September 2023) closed at 4416.25, and the index closed at 4369.01 – a spread of about +47.25 points; the futures closed at 4416.75; the fair value is -0.50
• Pre-NYSE session open, futures were mixed – at 8:30 AM, S&P 500 futures were up by +8.00, Dow down by -77, and NASDAQ up by +24.00

Markets Around The World

• Markets in the East closed mixed –  Shanghai, Hong Kong, and Seoul closed lower; Tokyo, Sydney, Mumbai, and Singapore closed higher
• European markets are mostly higher – Switzerland is lower
• Currencies (Compared to two weeks ago):

• Commodities (Compared to two weeks ago):
  • Energy futures are mixed
  • Precious metals are higher
  • Industrial metals are mostly lower
  • Soft commodities are mostly higher
• Treasuries (Compared to two weeks ago)
  • The 10-year yield closed at 3.802, up +10.2 basis points from two weeks ago;
  • The 30-year is at 3.918%, up +1.5 basis points;
  • The 2-year yield is at 4.684%, up +23.6 basis points;
  • The 10-Year-&-2-Year spread is at -0.882, down from -0.748
  • The 30-Year-&-10-Year spread is at 0.116, down from +0.203
• VIX
  • At 14.54 @ 6:30 AM; down from the last close; above the 5-day SMA;
  • Recent high = 20.81 on May 24; low = 13.50 on June 9
  • Sentiment: Risk-On-Neutral

The trend and patterns in various time frames for S&P 500:

Previous Session

Major U.S. indices closed higher on Tuesday, June 13, in higher volume. The major US indices gapped up at the open and then traded higher for most of the day. Most also did not close the gap. All but one S&P sector – Utilities – closed higher.

From Briefing.com:

[…] The major indices all closed near their best levels of the day, paced by the Russell 2000 (+1.2%). […] The cyclical S&P 500 materials (+2.3%) and industrials (+1.2%) sectors saw the biggest gains today. The consumer discretionary sector (+1.0%) and information technology sector (+0.7%), which was boosted by Oracle (ORCL 116.68, +0.25, +0.2%) after its earnings report, were also top performers today. The countercyclical utilities sector (-0.1%), meanwhile, was the lone laggard to close with a loss. […] The market-cap weighted S&P 500 rose 0.7% while the Invesco S&P 500 Equal Weight ETF (RSP) rose 1.0%. […] The 2-yr note yield rose 11 basis points to 4.70% and the 10-yr note yield rose seven basis points to 3.84%. Nasdaq Composite: +29.7% YTD S&P 500: +13.8% YTD Russell 2000: +7.7% YTD S&P Midcap 400: +6.3% YTD Dow Jones Industrial Average: +4.0% YTD […] The May NFIB Small Business Optimism Survey rose to 89.4 from 89.0 in April Total CPI was up 0.1% month-over-month in May (Briefing.com consensus +0.2%). Core CPI, which excludes food and energy, increased 0.4% month-over-month, as expected, driven by a 0.6% increase in the shelter index and a 4.4% increase in the index for used cars and trucks. On a year-over-year basis, total CPI is up 4.0%, versus 4.9% in April, marking the smallest change since the 12 months ending March 2021. Core CPI rose 5.3% year-over-year, versus 5.5% in April, with the shelter index (+8.0%) accounting for over 60% of the total increase. […] Overseas: Europe: DAX +0.8%, FTSE +0.3%, CAC +0.6% Asia: Nikkei +1.8%, Hang Seng +0.6%, Shanghai +0.2% Commodities:  Crude Oil +2.38 @ 69.47 Nat Gas +0.06 @ 2.34 Gold -11.80 @ 1957.00 Silver -0.31 @ 23.75 Copper +0.08 @ 3.83