Good morning. Yesterday most US major indices ended modestly higher after the better-than-expected inflation data and strong bank earnings. Tech was the primary driver of gains with chip and memory stocks recouping some of the previous day’s losses. IBM traded sharply lower after a negative pre-announcement which initially put pressure on the software sector however, much of the group recouped early losses with cybersecurity ending the day sharply higher (HACK +4.6%). Healthcare led to the downside after HCA preannounced.

Futures were trading around unchanged levels throughout the overnight session but have moved higher after this morning’s PPI data came in better than expected. We are on day two of earnings season with some more details below ASML results are helping chip and equipment stocks in the pre-market. Financial results continue to look solid.

Kinetic activity continues in Iran helping to keep a bid under oil prices. ICE Brent is up ~0.5% trading at ~$85 just below its 50/100ma. After bouncing yesterday precious metals were pulling back overnight but have rallied back to unchanged after the data. Copper is slightly higher. Wheat is moving higher on the continued conflict in Russia and a heatwave. Crypto is extending yesterday’s gains with Bitcoin testing 65k and Ethereum moving above 1,900. The WSJ is reporting that the DTCC plans to run a pilot tokenization for Treasuries and stocks potentially in October.