Good morning. S&P futures are in the red and a little above their lows, with the cash index currently looking to open down ~0.5% in a continuation of yesterday’s weakness. After trading around unchanged for most of Monday morning, equities turned lower in the afternoon and finished just off their worst levels. The S&P fell almost 1%, failing to hold the 50d ma ~6700 and essentially reversing Friday’s intraday move. The equal-weight lagged and small caps fell 2%. Tech was weak and included an equipment group downgrade by Morgan Stanley. Energy and Financials, with both weak across the board. For Energy, crude and nat gas especially were lower. Treasuries are moving this morning, with yields down 6bp at the short end and a little less out the curve. Employment data is tilting dovish this morning and Fed governor Waller reiterated his call for rate cuts in a speech yesterday. Ahead of the ADP’s weekly report, backlogged claims data was released for the weeks of October 11 and 18. Initial claims of 232k for 10/18 increased from 219k on 10/11. Continuing claims on 11/18 of 1957k increased from 1947 the week prior. The ADP report improved from last week but still showed a decline. Jobs fell an average of 2.5k/week for the period ending November 1, versus last week’s report of an 11.3k average decline. The US Dollar Index is down slightly but still above 99. Crypto is trying to bounce after sustained selling pressure. Bitcoin has rallied this morning after dropping below $90k, currently down <1%, while ETH is slightly in the green. Crude is flat ahead of President Trump’s meeting with Saudi crown prince Mohammed bin Salman at the White House today. Precious metals are generally lower though gold is around unchanged.

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