Early Tuesday, European Union leaders came to agreement over the terms of an $860B stimulus plan designed to help support the economies most severely impacted by the coronavirus and the economic lockdown that accompanied it. Equity markets around the globe seem to welcome the news as a positive for general economic stability and relief. About one-third of the total amount of pledged support will go toward efforts to manage climate change.
Domestically, equity markets are looking to open a bit higher than yesterday’s close while Treasury bond prices are little changed. The Ten-Year’s yield is around 61 basis points. An early morning report from the Chicago Fed disclosed that its National Activity Index improved to 4.11 in June while May’s level of 2.61 was revised to 3.50. June’s result was slightly better than the analysts’ expectations of 4.0. That looks to be today’s lone macro data-point. Crude oil has rallied to just under $42 while gold has rallied even more to around $1,839; a gain of about $21 so far on the day. The New York Fed will update its twice-weekly high-frequency index around lunch time.