Volumes Stall as We Await This Week's Events

Follow @MrTopStep on Twitter and please share if you find our work valuable!

Our View

I forgot to add the PitBull’s rule about the ES rallying early in the week and early in the day to the Lean. That said, the Lean was right on yesterday. It’s also worth mentioning that "rolling” is adding a lot of volume to the futures right now, so keep that in mind.

I know...it's the end of the summer and back to school and all that, but the NYSE volume has been low for months and I think it has a lot to do with people lowering their stock market exposure. Uncertainty in the markets and certainty in short-term Treasuries and high-yield savings accounts is making for an easy decision right now among investors.

PitBull said something about dark pool volumes, but I don't think that is the main reason for the volume being so low. I read something that said $17 billion a month goes into interest-rate products. Total estimated outflows from long-term mutual funds were $12.92 billion for the week ended Wednesday, August 30.

That money has to go somewhere right?

Remember: We have CPI on Wednesday, Retail Sales/PPI on Thursday and Triple Witching expiration on Friday.