Volatility Could Be Higher in Short Week
December 20, 2022
This is a short trading week with our offices closed on Friday December 23rd. No contracts offered on that day. Monday December 26 our offices are also closed so no contracting that day. That also makes next week a short trading week. This is likely to result in limited traders working most likely until we get into the new year. This also means that volatility could be high due to the fact that only a few trades are getting done so it can exaggerate the price moves.
Crude oil and gasoline prices rose yesterday but natural gas and diesel fuel prices fell. A change in the weather forecasts calling for the entire US to be above normal at the start of January helped to push natural gas and diesel prices lower. We are going to get a very cold blast as we end this week, but it appears short lived.
The December NAHB home builders index came in and it was not good. It was at 31 and just like the PMI any number under 50 is contracting and not a good reading.