Market Soapbox 07/18/06
Resistance: DJIA 11775; SP500 1335; Nasdaq 2380; NDX 1750
Support: DJIA 10650, SP500 1210, Nasdaq 2050; NDX 1475
YIELD CURVE INVERSION: Bonds DOWN BIG with the 30 yr yield rising @ 5.16%; 10 yr @ 5.13; 5 yr @ 5.10; 2yr @ 5.19; 6 mo @ 5.33.
Recent Inversions: 2yr above 10 yr 12/27 - 03/07 & 03/20 - 3/29. 2yr above 30 yr 02/09 - 03/07 & 03/21 - 3/29.
6mo & 2yr above 30yr 06/13 - ?; 6mo above 10yr 06/02 -?; 2yr above 10yr 06/08 - ? 6mo above 30yr 06/13 - ?
MON, a choppy split tape day DJIA +8 on lower volume with ugly internals.
TUE, a down day till 2PM, DJIA +52 on higher but average volume with midlin internals. This week DJIA +60, since 09/19/05 DJIA +157.
Indexes UP: DJTA, XOI, RUT. DOWN: XAU & SOX.
Sectors UP: Airlines, Oil, Brokers, Transports DOWN: Oil Services, Retail, Gold Bugs, Networking, Healthcare -4.8%.
Overseas: FTSE, CAC, DAX, Hang Seng & Nikkei 225 ALL DOWN.
Dollar UP vs. Euro 1.2564 & vs. Yen 116.32, XAU -3.4% & gold -3% @ 630, XOI & crude -2.3% @ $73.6, CRB commodities index DOWN 1.6% @ 341.85
Economic reports in todays other post. Afterhours NDX volume spike from 18 to 42M, down 10 pts. Amex spike 4 to 14M, most index ETF's down, NYSE drop in volume 57M to 25M.
Target cut sales outlook, -4.25% to a new 52 week low. At 2PM the market hit its low SOX -3% (14 month low), then bounced on low volume into the close. The RUT hit our target of 670 intraday.
Friday, the 10 yr hit a one month low @ 5.04%, in 2 days +9bps @ 5.13. Evidence the liquidity drain is in effect as bonds have been left to fall while equities are rescued.
Support: DJIA 10650, SP500 1210, Nasdaq 2050; NDX 1475
YIELD CURVE INVERSION: Bonds DOWN BIG with the 30 yr yield rising @ 5.16%; 10 yr @ 5.13; 5 yr @ 5.10; 2yr @ 5.19; 6 mo @ 5.33.
Recent Inversions: 2yr above 10 yr 12/27 - 03/07 & 03/20 - 3/29. 2yr above 30 yr 02/09 - 03/07 & 03/21 - 3/29.
6mo & 2yr above 30yr 06/13 - ?; 6mo above 10yr 06/02 -?; 2yr above 10yr 06/08 - ? 6mo above 30yr 06/13 - ?
MON, a choppy split tape day DJIA +8 on lower volume with ugly internals.
TUE, a down day till 2PM, DJIA +52 on higher but average volume with midlin internals. This week DJIA +60, since 09/19/05 DJIA +157.
Indexes UP: DJTA, XOI, RUT. DOWN: XAU & SOX.
Sectors UP: Airlines, Oil, Brokers, Transports DOWN: Oil Services, Retail, Gold Bugs, Networking, Healthcare -4.8%.
Overseas: FTSE, CAC, DAX, Hang Seng & Nikkei 225 ALL DOWN.
Dollar UP vs. Euro 1.2564 & vs. Yen 116.32, XAU -3.4% & gold -3% @ 630, XOI & crude -2.3% @ $73.6, CRB commodities index DOWN 1.6% @ 341.85
Economic reports in todays other post. Afterhours NDX volume spike from 18 to 42M, down 10 pts. Amex spike 4 to 14M, most index ETF's down, NYSE drop in volume 57M to 25M.
Target cut sales outlook, -4.25% to a new 52 week low. At 2PM the market hit its low SOX -3% (14 month low), then bounced on low volume into the close. The RUT hit our target of 670 intraday.
Friday, the 10 yr hit a one month low @ 5.04%, in 2 days +9bps @ 5.13. Evidence the liquidity drain is in effect as bonds have been left to fall while equities are rescued.
Comments