Despite minor losses this was another feather in the cap for the bulls; after big moves up you want to see consolidation rather than any form of hectic selling so Monday’s action was right in line with what is needed. The S&P 500 fell 0.19% while the NASDAQ eeked out a 0.06% gain. September new home sales fell 11.5% to near a one-year low after two straight months of gains. Not a huge deal as existing home sales are a much larger part of the economy.Continue reading
With the indexes short term oversold and sitting at key support levels it made some sense that we saw a bounce today – the question is whether it has lasting power. The S&P 500 jumped 1.24% and the NASDAQ 0.98%. Tomorrow’s attention will be squarely on the Federal Reserve as people look to see if the language in the press release points to a rate hike in 2015. China’s securities regulator said on Tuesday that it had launched an investigation into Monday’s selloff, when stocks fell more than 8%. Losses were more mild there on Tuesday.
In economic news, U.S. consumer confidence for July came in at 90.9, missing expectations and posting a decline from June’s read of 99.8. The home ownership rate dropped to 63.4 percent, the lowest level since 1967.Continue reading
A plunge in Chinese stocks led to a gap down open in the U.S. indexes at the open and while selling didn’t accelerate, no buyers truly moved in either. The S&P 500 fell 0.58% and NASDAQ 0.96%. The drop in China was the largest since 2007. June durable goods data showed an increase of 3.4 percent, beating expectations slightly. The Fed begins a two day meeting Tuesday as policy makers debate the timing for higher interest rates. Economists surveyed by Bloomberg continued to put the odds for a September rate increase at 50 percent.
Very interesting data point: The number of NYSE stocks hitting a new low reached the highest level since Oct. 15, 2014 on Monday. Some 435 stocks traded on the New York Stock Exchange made a new low, Reuters reported. The number of new Nasdaq lows hit 245, also the most in nine months, Reuters said.Continue reading
A very quiet morning led to some volatility in the afternoon but in the end it was a quiet close on the indexes as the S&P 500 was fractionally lower while the NASDAQ added 0.28%. Most of the attention was on Greece again but most expect a can kicked down the road… as usual.
Greek Finance Minister Yanis Varoufakis met with euro zone finance ministers on Wednesday after his new leftist-led government won a parliamentary confidence vote for its refusal to extend an international bailout. The meeting included discussion of what could constitute a “bridge agreement” for Greece once its bailout expires on Feb. 28, a Greek government official told Reuters.Continue reading
Market indices continue to act well as morning weakness is met with strong buying; the type of action you want to see. The S&P 500 gained 0.62% and the NASDAQ 0.37%. There was some good economic data as the Commerce Department reported gross domestic product grew at a 3.5% annual rate in the third quarter, bolstered by a smaller trade deficit and a rise in defense spending.Continue reading
Thursday was day 3 of the bounce from extreme oversold levels as investors continued to celebrate the Federal Reserve’s dovish policy statement. The S&P 500 gained 0.49% and the NASDAQ 0.68%. Not too much in the way of economic data other than weekly jobless claims and the Philly Fed index which decelerated in September; however its employment component rose to its highest level since the middle of 2011.Continue reading
U.S. investors returned from the Labor Day holiday to a generally quiet session. The S&P 500 finished down 0.05% while the NASDAQ rallied 0.39%. The Institute for Supply Management’s index of factory activity, which rose to 59, the highest since March 2011, from July’s 57.1 – was generally a non event. Construction spending was announced as increasing 1.8% in July.Continue reading
Stocks flip flopped in the morning Monday around unchanged but rallied throughout the afternoon as an extreme short term oversold condition we noted Friday was worked off. It is nothing to get excited about yet if you are a bull – in fact we noted there should be a short term rally coming due to how oversold the indexes had been and if you are a short/intermediate term trader that rally would be a place to lighten up until we see some better signs in the market. The S&P 500 and NASDAQ both gained 0.72%. Participants were happy when hearing of Portugal’s plans to spend 4.9 billion euros, or $6.58 billion, to bail out Banco Espirito Santo. Tomorrow eyes will be on the ISM Non Manufacturing report in the morning.Continue reading