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Premarket Mood 1st July

The Hang Seng was down 0.81% overnight and Australia was up 0.83%.

Japan was flat, but it goes its own way.

Europe is up almost a percent and a half while Globex S&P 500 is up 5 points.  The claim is that European manufacturing data was better than expected.

The ADP employment change was announced 15 minutes ago, 8:15 EST, and was -473K  worse than consensus estimate of -400K but better than the previous May reading of -485K which was revised to -532K.

Construction spending for May will be announced at 10 EST.  April had a surprise increase of 0.8% and March was revised upward to 0.4%.  The consensus estimate for May spending is  -0.6%.  If it is positive, that will be a nice surprise since construction is 7% of GDP.

The Institute for Supply Management Index is announced at 10 AM.  RBC Capital Markets research shows that when this number is greater than 41, GDP turns positive 89% of the time within one quarter and 100% of the time within two quarters.  May it was 42.8,   below 50 is contraction, and expected to be 44.6 today.

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