Traders are closely monitoring the Nasdaq 100 Index as they adjust their positions in anticipation of the upcoming Consumer Price Index (CPI) report. The latest CFTC Commitments of Traders report indicates a significant shift in speculative futures positioning, with aggressive selling of SOFR futures contracts, suggesting expectations of higher short-term interest rates. This anticipation is likely driven by the potential for a notable CPI figure, which could influence monetary policy. Additionally, the equities market has shown mixed sentiment, with buying activity in SPX futures but selling in NDX contracts, reflecting varying expectations about index performance. This divergence may be influenced by sector-specific factors or broader economic indicators, while short-covering in the VIX suggests diminishing expectations for market volatility.
The Invesco QQQ Trust (QQQ) experienced a rise, closing at $521.74, up 1.69% from the previous close of $513.08, and currently stands at $521.30, reflecting a 1.60% increase as of 16:20 on Friday, January 17.