EM CEEMEA CREDIT: REPHUN: CPI Slows to +4.2% Y/Y

• US futures spike higher through the European open, with the e-mini S&P briefly adding 100 points before retracing around half of the rally. The move coincided with the cash equity open in Europe, rather than being triggered by a headline or newsflow - but serve as a further reminder that intraday vol in US assets is likely to persist.
• European markets have gapped lower as they play catch up with the weak close on Wall Street - peripheral market are bearing the brunt, prompting underperformance in Spanish and Italian indices at the open, although most cash markets are off 2% or more.
• The S&P 500 entered bear market territory on both Monday and Tuesday this week, but avoided closing below the mark, which remains at 4915.75, and 36,040 for the Dow Jones.
• China retaliation remains a market focus after the imposition of 104% tariffs on exports headed to the US - but there were few new messages in their comments this morning: China will continue to pursue trade countermeasures, but remain open to talks with the US.

• RES 4: 94.75 76.4% retracement of the Dec 3 - Jan 13 bear leg (cont)    
• RES 3: 94.50 High Apr 7 and key resistance       
• RES 2: 93.00 Round number resistance  
• RES 1: 92.63 High Apr 8                        
• PRICE: 91.22 @ 08:05 BST Apr 9
• SUP 1: 91.14 Intraday low                                       
• SUP 2: 91.03 Low Mar 28  
• SUP 3: 90.55 Low MAr 27 and key support     
• SUP 4: 9.00 Psychological round number 

A sharp sell-off in the Gilt futures this week highlights a strong reversal of the bull cycle between Mar 27 - Apr 7. A continuation down exposes the next key support located at 90.55, the Mar 27 low. Clearance of this level would confirm a full reversal of the Mar 27 - Apr 7 rally. On the upside, a resumption of gains would initially refocus attention on resistance at 92.63, yesterday’s high. A break would potentially highlight an early bullish reversal signal.

• RES 4: $34.903 - High Oct 23 ‘24 and the bull trigger 
• RES 3: $32.947/34.590 - 20-day EMA / High Mar 28 
• RES 2: $32.491 - 50-day EMA 
• RES 1: $30.815 - Low Feb 28                                     
• PRICE: $30.266 @ 08:09 BST Apr 9    
• SUP 1: $28.351 - Low Apr               
• SUP 2: $27.686 - Low Sep 6 ‘24 
• SUP 3: $27.180 - Low Aug 14 ‘24   
• SUP 4: $26.451 - Low Aug 8 ‘24 and a key support   

Silver continues to trade in a volatile manner. Last week’s sell-off confirmed a clear reversal of its recent uptrend. The metal on Monday, traded through support at $28.748, the Dec 19 low. A clear break of this level would signal scope for a continued sell-off, towards $27.686, the Sep 6 ‘24 low. Initial resistance to watch is $30.815, the Feb 28 low. The contract is oversold, gains would allow this set-up to unwind.