Fed March Meeting Preview: Here's what Wall Street analysts expect from Powell

BTIG Explains Market Action During March Volatility Option Expiry Events

March 22, 2023 10:43 AM EDT

BTIG Explains What Has Happened During Other March VIX Expiry Events.

BTIG analyst Jonathan Krinsky comments "While all eyes are obviously, and rightly, on the FOMC today, its worth noting that the VIX had a monthly (March) expiration this morning. Focus on expiration is usually for options on Fridays, but when looking at VIX expirations (Wednesdays), they have often... More

US stocks open higher but analyst warns the S&P 500 bounce may run out of steam soon

March 21, 2023 9:36 AM EDT

The S&P 500 (SPX) and Dow Jones Industrial Average (DJI) are up 1% in early Tuesday trading while Nasdaq Composite Index (IXIC) trades 0.9% higher.

Despite today's strength, Katie Stockton, the founder and Managing Partner of Fairlead Strategies, sees limited upside in the S&P 500 in the short... More

Market positioning sentiment becoming 'increasingly weaker' - Citi

March 21, 2023 8:46 AM EDT

Citi analyst Chris Montagu told investors in a note Tuesday that sentiment across market positioning is becoming increasingly weaker.

"In the US, despite net notional positioning increasing, weekly activity better reflected one of tactical repositioning and greater aversion," wrote Montagu.

The analyst explained that futures... More

Systemic credit event now seen as the biggest tail risk - BofA's survey

March 21, 2023 7:52 AM EDT

Investor sentiment is close to levels of pessimism seen at lows in the last 2 decades, according to Bank of Americas March Global Fund Manager Survey (FMS). The sentiment/positioning is consistent with prior major market lows, according to BofAs strategist Michael Hartnett.

The investor sentiment declined in March with the average percentile rank of next-12-month growth expectations, cash allocation, and equity allocation falling to the lowest level since December 22.

Net 51% of FMS... More

BofA Fund Manager Survey shows investor sentiment close to levels of pessimism

March 21, 2023 5:28 AM EDT

BofA analyst Michael Hartnett shares the key takeaways from the March Global Fund Managers Survey (FMS): "Investor sentiment close to levels of pessimism seen at lows of past 20 years; positioning/policy panic says SPX 3.8k floor holds, fade rally run to >4.1-4.2k."

... More

Wall Street ends green on bank bounce as Fed takes focus

March 21, 2023 5:27 AM EDT

By Stephen Culp

NEW YORK (Reuters) - Wall Street closed sharply higher on Tuesday as widespread fears over liquidity in the banking sector abated and market participants eyed the Federal Reserve, which is expected to conclude its two-day policy meeting on Wednesday with a 25 basis-point hike to its policy rate.

All three major U.S. stock indexes were bright green as the session closed, with energy consumer discretionary and financials enjoying the most sizable gains.

A one-two punch of regional bank failures last week, followed by the rescue of First Republic Bank and the takeover of... More

BTIG's Krinsky expects S&P 500 to break lower later this week

March 21, 2023 5:17 AM EDT

BTIG analyst Jonathan Krinsky on the recent S&P 500 price action: "We likely don't see resolution for the SPX trading range until either late Wednesday, or even Thursday, and while we continue to think it resolves to the downside, it's clearly not going down without a fight."

... More

DB expects a 25 rate hike on Wednesday

March 21, 2023 5:07 AM EDT

Deutsche Bank chief U.S. economist Matthew Luzzetti: "We expect the Fed to deliver a 25bp rate hike at this Wednesday's FOMC meeting. As the last week has made abundantly clear, however, the outcome of the meeting will depend on headlines and events over the coming days which could... More

Futures positioning indicative of decreasing risk appetite - Citi

March 21, 2023 5:06 AM EDT

Citi analyst Chris Montagu on the futures positioning: "Futures Positioning in the US, rose last week and at odds against the backdrop of increasing market uncertainty. Net notional was up for both the S&P and Nasdaq. This led to a reversal of previous bearish positioning across both markets.... More