US equities opened slightly higher today, slipped into the red shortly after, then clawed back into the green as we rounded noon. The equal-weight is outperforming while small caps are inline-to-outperforming. Yesterday most major US indices added to Monday’s gains, shaking off some weakness in the AI complex. Bond markets were closed for the holiday and equity volumes were down sharply from recent levels. The House will vote on a Bill to end the shutdown this evening. Meta and Alphabet are lower, dragging down Comm Services and Mega Cap growth. Energy is a lagging sector as well on the back of crude’s weakness. On the other hand, Healthcare, Financials and Materials are leading. Managed Care and Med Devices are leading the way. Richard Padzur was named new head of the FDA’s Center for Drug Evaluation and Research (CDER) in a widely applauded move for an agency with a lot of turmoil. Hopefully the government opens up soon so he doesn’t have to get furloughed before he gets his office. Financials are up across the board and mining/steel names are pacing Materials. Treasury markets were closed yesterday but futures rallied and yields fell on soft employment data from ADP. Today yields are trading on either side of unchanged. A 10y auction at 1pm went off at 4.074%, tailing by 0.6bp and eliciting little market reaction. Brent crude was trading lower earlier in the day as it gave back most of yesterday’s gain but took another step down after OPEC updated its forecasts to a more balanced market, versus deficits it forecast previously. Precious metals are extending their recent rally. Gold regained $4200. Bitcoin has retreated from its highs (~$105k) of the day, failing to hold its 200d ma and is now ~$101k.

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