Via Dave Lutz at JonesTrading, here's a super quick guide to what traders are talking about as April gets under way. Good Morning, and Happy April Fools Day - Wild ride for Futures last night – S&P and Nasdaq got crushed for over 1% just before 9pmET. There was heavy ETF selling in Japan to Start the New Year, “suggesting large scale domestic redemption (and hedged via Futures)” traders say. The $/Yen’s weakness, coupled with ETF selling got Tokyo gappy to the downside – dragging US futures lower. There were stop losses parked at 2048.5 in the Big S&Ps – “Over 6k went through on the move to 2033.5 and over 10k in the 2 mins after the decline started.” Other traders note that the weakness coincided with Chinese PMI data (but not as bad as feared); Greek Headlines (the circus continues); and Japan’s Tankan release (hit prior, not that bad) Right now Futures have battled back near unchanged, and I “hear” the ETF selling in Japan may be a allocation shift towards Europe – Nearly $1B of inflows in various EU Stoxx ETFs have propelled Europe higher. The DAX is up over 1%, led by a jump in the Financials and Industrials, while Technology is the lagger. Overall volume is decent in Europe, with most exchanges trading heavy to averages. Over in Asia, China hits a 7Y high, the Nikkei closed down 90bp, and Aussie lost ground as commodity prices weighed. Headlines that Ore has broken $50 weigh heavy down under… The US 10YY is starting under pressure, taking out yesterday’s1.92% low as German 10’s break under 17bp. The $ has regained it’s early losses against the Yen, but wekness against Euro has the DXY basically unchanged. Commodities are mixed, with Gold and Copper showing a slight bid, and all of the “Softs” are higher. The Crude Complex is mixed, with Brent slightly higher, but WTI under pressure on Inventory data – While last night API showed a 5.2M build overall, there was a lighter Cushing build of 2.6M (Genscape was closer to 3M) – DOE today. Scheduled Catalysts include ADP Employment Change at 8:30; Fed's Williams Moderates a Panel on Financial Stability at 9 – at 9:45 we get Markit US Manufacturing PMI ahead of Construction Spending, and ISM manufacturing at 10. 10:30 brings DOE data, along with Fed's Lockhart leading a Panel on Banks and Monetary Policy…Join the conversation about this story » NOW WATCH: NYSE Trader Explains The Importance Of The VIX
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