Copper High Grade Futures (332.70)

Copper is stuck going sideways in a stubborn little trading range. As I see it, copper has the potential to take a nasty tumble over the short term.

Oil U.S. Light Crude Futures ($64.94)

Oil has run out of steam and is stuck in a trading range in the $65 area. My intermediate term price outlook remains negative.

U.S. Market Comment (S & P 500 1522)

My records show an S & P Futures year 2000 all time high of 1522. We're pushing that level now. So we have summer doldrums and powerful resistance together. Underlying S & P price momentum remains positive, but I think the index needs a rest here, if it is to develop the energy it will need to move on upward.

Market Comment Canada (TSX 14105)

Canadian Dollar Futures (0.9183 U.S.)

On Friday, the Canadian Dollar closed at what some have described as a thirty-year high. (I go back further than thirty years, and I can remember when the Canadian Dollar (the Loonie) was at par with the U.S. Dollar). We are entering the "summer doldrums" as I write, and I will be pleased if the Loonie loses short-term momentum soon, and trades sideways to reflect this reality.

The TSX also needs a summer rest period as I see it.

U.S. April Retail Sales Weakness

I have been waiting for news that would trigger a meaningful setback in stubbornly high short rates. The street has ignored the short end inversion up to now - and something had to give.

A sharp short end rate setback is needed to normalize the invisible end of the curve.

This could bring on a surge of recession dialogue as the ubiquitous market reluctantly completes an intermediate term top.

Just a thought.