Market Soapbox 07/31/06

Resistance: DJIA 11775; SP500 1335; Nasdaq 2380; NDX 1750
Support: DJIA 10650, SP500 1220, Nasdaq 2000; NDX 1450

YIELD CURVE INVERSION: Bonds UP with the 30 yr yield falling @ 5.07%; 10 yr @ 4.98; 5 yr @ 4.90; 2yr @ 4.96; 6 mo @ 5.13.

Yield Curve Reversion: 2yr below 30yr for 8th day. 2yr below 10yr 2nd day. 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 - 07/20; 6mo above 10yr 06/02 -?; 2yr above 10yr 06/08 - ? 6mo above 30yr 06/13 - ?

MON, a treading water day, fading into the close, DJIA -34 on lower volume with midlin internals. This week DJIA -34, since 09/19/05 DJIA +544.

Indexes UP: XOI DOWN: DJTA, DJUA

Sectors UP: Oil, Natural Gas, Commodity, Healthcare. DOWN: Consumer, Transports, Airlines, Biotech.

Overseas: FTSE, CAC, DAX all DOWN Hang Seng & Nikkei UP.

Dollar DOWN vs. Euro 1.2810 & vs. Yen 113.90, XAU UP & gold DOWN @ 634.2, XOI & crude UP +1.6% @ $74.40, CRB commodities index UP +1.75% @ 349.83; Natural Gas +14.3%

Market observations and economic reports in todays other posts.

Comments