Markets: Your Must-Read Morning Report 7.2.10

The exclusive Markets Morning Report is supplied by Precision Capital Management.

The Precise Take – Markets yo-yo on Employment Situation

Big Picture Analysis:  The Employment Situation report was a mixed bag, with non-farm payrolls down 125k (within consensus) and the unemployment rate better than expected, down to 9.5%.  Without getting into the merits of these figures, this sets up a bullish scenario for today based on historical probabilities.  As we are heading into a three day weekend, with US Independence Day on Monday, it will be telling to see if shorts hold or cover today.

Leaders Analysis:  The EuroYen is very strong again overnight, as the Euro appears to be in short covering mode against other currencies as well.  The 10 Year yield put in a hammer bottom yesterday, and on the report, was up, then down, and now flat.  Any divergence with equities today will likely…

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