Perspective: Morning Commentary for November 6
November 6 – Volatility remains high on Wall Street this morning, as we add the monthly jobs report to the post-election market correction. The Nasdaq dropped sharply on Thursday amid a fear that the Democrats taking over Congress would create major challenges for tech companies – especially those involved with AI. It’s trying to bounce this morning, but the headlines over AI risks continue to flow. Today’s jobs report should help to redirect some of that focus momentarily, but the possibility of more volatility clearly remains with us. As such, the VIX – Wall Street’s “fear index” – is trading near 27 at this hour. My observation over the decades is that commodity assets struggle to sustain rallies when the VIX is above 30, unless that asset has a strong story of its own. The dollar index is trading near 102.3. Yields on 10-year Treasuries are trading near 4.86%, while yields on 2-year Treasuries are trading near 4.53%. WTI crude oil is trading near $91, while Brent trades near $98 per barrel. The grain and oilseed sector traded mixed overnight, with wheat posting double-digit losses, while corn and soybeans were either side of unchanged in early trade.
- Grains & Oilseeds
- Energy
- Dairy
- Renewable Fuels
- Meats & Livestock
- Forest Products
