It appears unlikely that a US/China summit between Trump and Xi Jinping will happen in April according to sources of the South China Morning Post.  One source said the summit might happen in June.  Preparing the text for a US/China trade agreement is taking more time than Trump had anticipated.

Boeing remains under scrutiny as flight recorder data shows the 737 Max 8 crashes in Indonesia and Ethiopia have “clear similarities.”  Boeing is preparing a software update to better handle “erroneous sensor inputs” which appear to be involved in the chain of events leading into both crashes.

In merger news, Fidelity National (FIS) has agreed to acquire UK-based payment processor Worldpay (WP) for stock and cash valued around $43B, a greater than 13.5% premium to Worldpay’s Friday closing price.  The earnings calendar is light: TLRY, LL, SCS, OSTK.

The economic calendar is also very light: NAHB Home Builders Index @ 10:00am EST.  Volatility for today is a tough call given it’s a low news Monday with the ES working through significant resistance.  We could see a significant move up, or a significant move down, or the ES could settle in and do not much of anything…  Friday’s 2836.50 high and 2817.25 low are the key areas for the ES to clear if there’s to be significant movement today.  No Size bias as Size wasn’t interested in trading overnight.

Confusion and doubt are creeping into the markets over exactly what was accomplished during Trump and China’s Xi Jinping over Sat dinner’s trade talks.  The WH economic advisor Larry Kudlow tried to detail specifics from the meeting but only conflicted with trade talk information released by the Chinese.  The start date of the 90-day truce is in question as Kudlow says it’s Dec 1 and China said it was Jan 1.  With no agreement written down and signed, markets are a little nervous.  Meanwhile yields between the 3 and 5-year note have inverted for the first time in over 10 years suggesting that the US economy is slowing.  Nothing of significance on today’s US economic calendar.  The Fed’s Williams holds a press conference @ 10:00am EST.  Earnings include TOL, DG, AZO, MRVL, and HPE.  Volatility remains elevated, however could shrink into today’s US close as US stock markets will be closed National Day of Mourning for former US President George H.W. Bush.  Size bias is short on lighter Globex volume into the US session open.

North Korea is threatening to pull out of a meeting with Trump scheduled for June 12 in Singapore.  The US is pushing for total denuclearization which North Korea continues to balk at.  North Korea issued the statement “If the US is trying to drive us into a corner to force out unilateral nuclear abandonment, we will no longer be interested in such dialogue and cannot but reconsider our proceeding to the DPRK-US summit.”  The US Supreme Court earlier this week lifted a ban on sports betting in New Jersey.  The decision is causing a lot of activity in the sports business world including potential sports-betting mergers and a $2.2B purchase of the NFL Carolina Panthers by hedge fund billionaire David Pepper.  The dollar continues to inch higher as yesterday’s Retail Sales number were solid and expectations are set the Fed will raise rates sooner rather than later.  The economic calendar focus is Permits and Housing Starts @ 8:30am EST, Industrial Production @ 9:15am EST, and Oil @ 10:30am EST.  Earnings today include CSCO, M, JACK, and TWO.  Volatility continues to remain muted with higher probability for a pickup to the downside rather than the upside.  Size bias is leaning long into the 8:30am EST housing numbers.

US Stock markets are closed today for the Martin Luther King Federal holiday.  DTG will resume posting tomorrow.  Do something, enjoy the day away from the markets!