The stock market has that feeling that many Chicagoans have this morning when they look outside their window and see snow. That feeling is gray.
The S&P futures are up one point and are trading in-line with fair value, as market participants contemplate a number of gray areas.
Health care reform, tax reform, and infrastructure spending... they're all up in the air like the gray clouds hanging over the Windy City.
There is the Dutch election on Wednesday. Its outcome is unknown.
There is the FOMC decision on Wednesday. The market has a pretty good sense that the Fed will vote to raise the target range for the fed funds rate, but what remains to be seen is if the Fed will boost its rate-hike projections for 2017 and beyond.
There is a lot of talk about the improving global economic backdrop, yet oil prices (-$0.20, or 0.4%, to $48.29/bbl) are trading at a three-month low after plunging 9.0% last week.
The Trump Administration will reportedly release its budget plan on Thursday, the specifics of which are unknown.
According to reports, UK Prime Minister May could trigger Article 50 as early as Tuesday, the ramifications of which have been hotly debated and are thought by many to be less-than-favorable for the UK economy.
The Bank of Japan, the Bank of England, and the Swiss National Bank will all hold policy meetings later in the week. None are expected to change their key policy rates, yet it is unclear what tone their directives will have.
There isn't any economic data of note out of the U.S. today, yet key reports like the PPI, CPI, Retail Sales, Housing Starts, and Industrial Production reports are on the calendar this week and will help shape the first quarter growth outlook.
And, of course, the NCAA Tournament begins this week, the outcome of which is a big unknown.
One of the few certainties this morning is the news that Mobileye (MBLY) has confirmed it will be acquired by Intel (INTC) for approximately $15.3 billion, or $63.54 per share, in cash. That offer price represents a 34% premium over MBLY's closing price on Friday, so it is pretty much blue skies this morning for MBLY shareholders.
This deal should generate some added trading interest in the semiconductor space today. Separately, it has helped the S&P futures recover from their early-morning lows.
Even so, that recovery hasn't cleared out the front of gray skies just yet as the cash market looks poised to open on a flattish note.
Come Friday, though, there will be a lot of green (it's St. Patrick's Day). The question is, will stock monitors be awash in green like the streets and bars of Chicago will following a snowy, gray start to the week?