Market Soapbox 05/23/05
Resistance: DJIA 10600; SP500 1200; Nasdaq 2100; NDX 1550
Support: DJIA 10400 ; SP500 1180 ; Nasdaq 2000; NDX 1500
Positive: energy, materials, consumer discretionary, industrials, tech, homebuilding, REITs, retail, hardware, networking, disk drive
Weak: utility, healthcare, B2B, semi, financial, telecom, airline. biotech, brokerage, banks
For 52 Week HiLo, A/D Volume, Volume and Market Momentum go to the sidebar, look for Favorite Tools - BarCharts - Market Momentum, click on it. Everything you ever needed in one screen.
Economic Reports of Note:
TUE: FOMC Minutes; Existing Home Sales (est. 6.90M, prev. 6.89M)
WEN: Durable Orders (est. +1.5%, prev. -2.3%); New Home Sales (est. 1325K, prev. 1431K)
THU: Chain Deflator Prel. (est.3.2%, prev. 3.2%); GDP Prel. (est. 3.7%, prev. 3.2%); Jobless Claims (est. 320K, prev. 321K)
FRI: Personal Income (est. 0.6%, prev. 0.5%); Personal Spending (est. 0.8%, prev. 0.6%); Michigan Sentiment Revised (est. 85.3, prev. 85.3)
European (DAX +1.06%) & Asian markets (Nikkei 225 +1.10%) were up. Dollar down vs. Yen/Euro, gold, oil, bonds & commodities up. Contra action: None.
Today's Sooey Pig Pig!! Goes to me as the pig is taking a break to put some lipstick on. Reporting season is almost over. Of the 475 S&P companies that have reported earnings, 66% beat the number, 14% matched, and 20% fell short.
A gap up peaking at 10:30EST then a choppy sideways day, resulting in a quiet close and a continuation of the largest weekly gain >3% by the indices, in the last six months. 8 of 10 sectors up on lite volume.
Semis took the day off after the SOX had a 4% runup last week. The dollar took the day off as bonds rallied big. Today's winners were commodities, materials, oil, gold and energy stocks.
July Oil futures rebounded to over $49, but were down 3.8% last week and are down more than 18% from the April 4 high of $59.94. GM stock sold off after a 23% gain in the last four weeks.
Homebuilders rebounded after Alfred E. Greenspuns comments on Friday and the Morgan Stanley REIT index hit an all time high today. Sniff, Sniff.
Asian Central banks have supported the dollar since 03. Hedge funds and private Asian investors have supported the dollar this year in increasing volume since Feb.
Watch for the gold stocks rising as gold prices fall, this could be a signal that the Boyz in Bermuda Shorts are rotating into gold stocks, as they may be planning to pull out of the dollar after driving gold prices and issues down.
As needed, the Central Banks will support the dollar again. Read yesterdays Bond Market, Interest Rates and Foreign Inflows Intelligence report for more details.
Tues I look for more sideways and upward action on low volume. Wen perhaps a consolidation. The market internals are decent but lacking volume.
Hopefully, you won't be hearing, "I have a real bad feeling about this" or "I think we need a bigger boat", for it is eerily quiet in the market, much like the lull before a large squall. Which way the Noreaster takes us is the question.
We take it day by day and keep our eyes peeled to the sky, because it could be a name brand that pancakes us. Just my opinion, I could be wrong.
P.S. Please read Friday's Vacation posting
Support: DJIA 10400 ; SP500 1180 ; Nasdaq 2000; NDX 1500
Positive: energy, materials, consumer discretionary, industrials, tech, homebuilding, REITs, retail, hardware, networking, disk drive
Weak: utility, healthcare, B2B, semi, financial, telecom, airline. biotech, brokerage, banks
For 52 Week HiLo, A/D Volume, Volume and Market Momentum go to the sidebar, look for Favorite Tools - BarCharts - Market Momentum, click on it. Everything you ever needed in one screen.
Economic Reports of Note:
TUE: FOMC Minutes; Existing Home Sales (est. 6.90M, prev. 6.89M)
WEN: Durable Orders (est. +1.5%, prev. -2.3%); New Home Sales (est. 1325K, prev. 1431K)
THU: Chain Deflator Prel. (est.3.2%, prev. 3.2%); GDP Prel. (est. 3.7%, prev. 3.2%); Jobless Claims (est. 320K, prev. 321K)
FRI: Personal Income (est. 0.6%, prev. 0.5%); Personal Spending (est. 0.8%, prev. 0.6%); Michigan Sentiment Revised (est. 85.3, prev. 85.3)
European (DAX +1.06%) & Asian markets (Nikkei 225 +1.10%) were up. Dollar down vs. Yen/Euro, gold, oil, bonds & commodities up. Contra action: None.
Today's Sooey Pig Pig!! Goes to me as the pig is taking a break to put some lipstick on. Reporting season is almost over. Of the 475 S&P companies that have reported earnings, 66% beat the number, 14% matched, and 20% fell short.
A gap up peaking at 10:30EST then a choppy sideways day, resulting in a quiet close and a continuation of the largest weekly gain >3% by the indices, in the last six months. 8 of 10 sectors up on lite volume.
Semis took the day off after the SOX had a 4% runup last week. The dollar took the day off as bonds rallied big. Today's winners were commodities, materials, oil, gold and energy stocks.
July Oil futures rebounded to over $49, but were down 3.8% last week and are down more than 18% from the April 4 high of $59.94. GM stock sold off after a 23% gain in the last four weeks.
Homebuilders rebounded after Alfred E. Greenspuns comments on Friday and the Morgan Stanley REIT index hit an all time high today. Sniff, Sniff.
Asian Central banks have supported the dollar since 03. Hedge funds and private Asian investors have supported the dollar this year in increasing volume since Feb.
Watch for the gold stocks rising as gold prices fall, this could be a signal that the Boyz in Bermuda Shorts are rotating into gold stocks, as they may be planning to pull out of the dollar after driving gold prices and issues down.
As needed, the Central Banks will support the dollar again. Read yesterdays Bond Market, Interest Rates and Foreign Inflows Intelligence report for more details.
Tues I look for more sideways and upward action on low volume. Wen perhaps a consolidation. The market internals are decent but lacking volume.
Hopefully, you won't be hearing, "I have a real bad feeling about this" or "I think we need a bigger boat", for it is eerily quiet in the market, much like the lull before a large squall. Which way the Noreaster takes us is the question.
We take it day by day and keep our eyes peeled to the sky, because it could be a name brand that pancakes us. Just my opinion, I could be wrong.
P.S. Please read Friday's Vacation posting
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