Markets mixed but junk bond stabilisation could provide lift to stocks

Markets were mixed on Tuesday.

The S&P 500 rose 0.9 percent, the STOXX Europe 600 fell 0.1 percent and the Shanghai Composite Index gained 0.3 percent.

US stocks were boosted by higher oil prices. US oil prices rose 0.9 percent on Tuesday.

Junk bonds also mostly rose. The iShares iBoxx $ High Yield Corporate Bond ETF rose 1.2 percent.

Indeed, Chris Kimble sees "signs that Junk bonds are trying to get up off the mat", and that "would likely provide a lift to stocks as well".