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Showing posts from March, 2014

March 22, 2014 – Weekend Market Comment

March 22, 2014 -  The S&P 500 hit a historic intraday high right after the open. And all 10 sectors in the S&P 500 are up this week. Financials have had great run, with the KBW Bank Index (BKX) up 4.7 percent, and Technology is up over 2 percent. Even utilities...an interest-rate sensitive sector...are up on the week. Even more remarkable is that the markets side stepped a potential land mine in Ukraine...as long as there is no troop movements, the markets have shown little interest, so far.

The Dallas Fed's Richard Fisher was also speaking midday, noting he had no qualms about seeing a little more market volatility.

Stocks were weaker going into the final two hours of trading...there was a sell-side imbalance in stock for sale at the close. There is also a quarterly rebalancing of the S&P 500 at the close, with some modest stock for sale with IBM (IBM), Cisco (CSCO), Express Scripts (ESRX), Illinois Tool Works (ITW), and Apple (AAPL), all of which are having their we…

March 8, 2014 – Weekend Market Comment

March 8, 2014 – U.S. stocks staged a mixed finish Friday, with the S&P 500 ending at another record, as investors tracked the standoff in Ukraine and after February's jobs report indicated the harsh winter could be the culprit behind recent weakness in economic data.
Up for a fifth consecutive week, the Nasdaq fell 15.9 points, or 0.4 percent, to 4,336.22, up 0.7 percent from the week-ago close.
I am concerned that this rally is getting long in tooth and stocks are overdue for a corrective period. First, let's consider the reasoning behind today's rally. Stocks were down on Monday because the markets were spooked by the situation in Ukraine. The first trading day of the month normally has a huge bullish bias, because fund managers typically put new month to work at the beginning of each month. Buyers held back on Monday because of the situation in Ukraine and this created pent-up demand, which was subsequently released on Tuesday.

Overall all indicators are positive, …