Fed helps S&P to new highs
Index & Sector performance 6/18/14 The Market: After what amounted to a roughly 1.5% correction from the 6/9/14 highs to the 6/12/14 lows, the S&P 500 has since rallied and as of today’s close made a new intraday and closing all time high. The majority of the gains were realized after the FOMC statement and rate decision where the Fed left the rate unchanged and lowered monthly bond purchases by $10B. We have taken a cautious stance on the broad market since 6/6/14 due to multiple overbought conditions across multiple time frames. While the pullback from 6/9 – 6/12/14 helped…
Intraday swing leave only small gains
Index & Sector performance 4/28/14 The Market: After moving slightly higher in the overnight and early trading, the S&P 500 quickly dropped in the midday session before finding a bottom around 1:30 pm ET. While the S&P fell a few points short of making it back to the earlier intraday highs, it did manage to post a small gain on the day. The Dow led the major indices helped by a 4.2% gain from Pfizer (PFE) while the Russell 2000 closed slightly down on the day. Many big name stocks in the news including the aforementioned Pfizer (PFE) who…
Window dressing or more to come?
Index & Sector performance 3/31/14 The Market: The Quarter ends with a nice up session which has some throwing around the term “window dressing”. While we do not necessarily disagree with the sentiment, we also believe price is the ultimate indicator and therefore today’s action has to be respected. Otherwise it is ultimately a continuation of the short term consolidation between the highs on the S&P 500 cash at $1883.97 and the 3/14/14 lows of $1839.57. In the very short term the futures appear to be flagging overnight and could look to next target the 1875ES region. Support is 1862ES…
Market digests yesterday’s move
Index & Sector performance 3/27/14 The Market: In Economic news, Unemployment Claims came in at 311K which is better than the 326K estimate. GDP came in a hair light at 2.6% vs 2.7% est. and Pending Home Sales missed big posting a -0.8% vs a 0.1% est. while the previous number was revised lower. Tomorrow’s data is not as critical as today’s but we do have multiple events including Consumer Confidence. In early trading the emini reached 1835ES and twice found support there before managing to rally roughly 9 points off the lows to the close. All in all it…
Close lower ahead of bank stress test
Index & Sector performance 3/26/14 The Market: Early morning upside action quickly reversed and started a strong sell off which broke the short term uptrend line in the emini, back-tested and then continued lower into late day trading. Yet again the 1856ES region was a key short term level and now is strong resistance but the emini will have to first get through 1847ES to start and build a bull case, otherwise don’t be surprised to see the S&P test the 50 day moving average which is roughly 15 points lower. Reporting EPS 3/27/14 Pre-Market: Analyst Comments: Chart of…
Apple finally lands China
Index & Sector performance 12/23/13 The Market: The market was able to produce a gap higher to start this shortened trading week which will include a half day of trading Christmas eve and the market will be closed Wednesday December 25th in observance of Christmas. After the gap itself the S&P remained in a roughly 4-5 point trading range the entire day on light volume. There was a fair amount of economic data released today but nothing that really tipped the balances. Core PCE and Consumer spending came in right at expectations while Personal Income slightly missed (0.2% vs. 0.4%…
Triple witching tomorrrow
Index & Sector performance 12/19/13 The Market: Today trading range was rather tight after yesterday’s explosion with the entire day’s range in the S&P 500 only about 9 points. Tomorrow will be options expiration and a Triple Witching which can come with some volatility. In economic data today we sub a much worse than expected Unemployment claims number come in at 379K when 366K was expected. Other key data also underperformed expectations with Existing Home Sales missing expectations (4.9M vs. 5.04M) and Philly Fed Manufacturing Index (7 vs. 10.3). Tomorrow we get GDP and Monday 12/23 we have Core PCE,…
A low volume flat session
Index & Sector performance 11/25/13 The Market: Monday’s trading started with some optimism but that was sold in early trading and the market started climbing back toward the highs of the day after a pullback. The rally efforts topped around 2:30 pm EST and the market then declined into the close but after the dust settled it was a flat day. Again volumes were on the light side. Today’s economic calendar was light with only Pending Home Sales on the docket and came in worse than expected posting a -0.6% when 2.2% was expected. Tomorrow we get more housing data…
The Market’s all a TWTR
Index & Sector performance 11/4/13 The Market: A gap higher in the S&P was quickly sold down to 11:30 am EST where the market found support and then rallied to the close making new highs for the day in the final few minutes. In economic data Factory orders came in lighter than expected and while there was some Fed speak, nothing too groundbreaking. Tomorrow we see ISM and Economic Optimism. Looming Thursday is the Unemployment Claims data which has a very low estimate and looks like a softball for the markets to beat. A big miss with already low expectations…
AA kicks off a new earnings season…tomorrow
Index & Sector performance 10/07/13 The Market: The markets started down strong but found early support and rallied into midday but couldn’t hold and press toward Friday’s close and instead sold off during the last hour of trading closing near the early morning slows but just slightly above. Hard to believe we are kicking off another earnings season but Alcoa (AA) will start tings off again Wednesday 10/8/13 after the close. While AA no longer has the significance it once did, it still is known for ushering in the season and many larger more impactful names will then be reporting….