FINANCIALS
The December Treasury Bonds and December Treasury Notes are trading firmer overnight. This rally started during the last session hour yesterday and continued after the Senate passed the banking rescue package. This may be flight to quality buying in anticipation of a break in the stock market or expectations of a weak economy. Some traders expect the treasuries to break because of the strain the banking plan will put on the federal budget deficit.

EQUITIES
Global equity markets are feeling light selling pressure overnight. The Senate’s passing of the banking stimulus package did not encourage new buying as some had expected. This may be because House approval may be more difficult. Traders seem to be proceeding with caution ahead of the House vote. The market is still concerned about a possible recession after this bill is passed. There is also no guarantee that the credit markets will loosen immediately. The best situation will be for the volatility to die down and allow the stock markets to build a support base.

CURRENCIES
The Dollar is trading stronger overnight. The December Euro and December British Pound are trading at or near contract lows. Global banks are hoarding Dollars for liquidity purposes almost in anticipation of another financial institution failure. Banks are nervous about making loans. Both the Swiss Franc and the Japanese Yen will take instructions from the direction of the U.S. stock market. A higher stock market will put pressure on the Yen and Swiss. The Canadian Dollar may feel more downside pressure if commodity prices - especially crude oil - continue to fall.

Contact Us
Local: 312-896-3930
Toll Free: 1-800-971-2440

www.BrewerFuturesGroup.com
This e-mail address is being protected from spam bots, you need JavaScript enabled to view it

DISCLAIMER: Futures and options trading involves substantial risk of loss and is not suitable for every investor. The valuation of futures and options may fluctuate, and, as a result, clients may lose more than their original investment. The impact of seasonal and geopolitical events is already factored into market prices. Prices in the underlying cash or physical markets do not necessarily move in tandem with futures and options prices. In no event should the content of this correspondence be construed as an express or implied promise, guarantee or implication by or from Brewer Futures Group, LLC, Brewer Investment Group, LLC, or their subsidiaries and affiliates that you will profit or that losses can or will be limited in any manner whatsoever. Loss-limiting strategies such as stop loss orders may not be effective because market conditions may make it impossible to execute such orders. Likewise, strategies using combinations of options and/or futures positions such as "spread" or "straddle" trades may be just as risky as simple long and short positions. Past results are no indication of future performance.

Information provided in this correspondence is intended solely for informational purposes and is obtained from sources believed to be reliable. Information is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted.