Equities Rally in Early Trade on Retail Fever

US indexes are higher at this hour as investors pin their hopes to a higher retail sales number tomorrow. This appears to be a case of putting the horse in front of the cart. As noted in the weekly playbook, the 10,000 mark for the Dow will serve as a stubborn level of resistance as… Continue Reading

Equities, Euro Surge on Short Covering; ISM Disappoints

Following declines in 9 of the past 10 trading days, traders are covering their short positions and pushing markets higher in the process. The major US indexes are gaining better than 1.5% apiece at this hour while the euro heads higher across the board. The ISM data came in worse than expected at a reading… Continue Reading

Stock Futures Point to Higher Open Despite Weak Jobs

The Dow and S&P 500 are poised to open higher in trading today, with futures pointing to gains of approximately 0.3% apiece. Strength on Wall Street comes in spite of weaker-than-expected jobs data this morning. Initial claims for unemployment benefits rose by 12,000 this week to 472,000, following three straight weeks of declines. The employment… Continue Reading

Risk Rally Pushes Forward; Equities Near Key Levels

The rally for riskier assets continues in trading today, with major indexes at or near key technical levels. Equities markets are rallying sharply at midday, with the Dow and S&p 500 each higher by better than 1.25%. The tech-heavy Nasdaq, meanwhile, is stronger by 1.74%. The rally for equities markets, if sustained through the daily… Continue Reading

Equities Markets Pare Losses as Bullish Sentiment Returns

Equities markets are turning positive at this hour, signaling a bullish wave taking over the negative sentiment that prevailed in May. The major US indexes are all in positive territory at this hour, with the tech-heavy Nasdaq leading the charge. Investors are shaking off worse-than-expected retail sales numbers, which declined 1.2% in May over April…. Continue Reading

And That’s Called ‘Getting Your Face Ripped Off’

Early gains across the board for riskier assets — especially in the US and global equities markets — completely reversed into the close of US trading today. The major US indexes closed in negative territory in what amounted to a precipitous drop from the day’s highest levels. Typically, in bear markets — or bearish environments… Continue Reading

Dow Finds Early Resistance at 10,000; China Exports Surge

The Dow made a run at the 10,000 mark in early trading today, as heavy discounts and a strong exports report out of China attracted investors. The Dow peaked at 9,999.16 just minutes into the US open, though has since sold off to the 9,980 level. The index is stronger by 0.4% while the S&P… Continue Reading

Stock Traders Covering Shorts Into Close

In a change of pace for US equities markets, short covering into the close today has taken the place of selling into the close. Still, the net effect remains negative for markets going forward. The Dow is trading back above the 9,900 mark as we head into the final 30 minutes of trading, gaining nearly… Continue Reading

Maintain Vigilance Amid Market ‘Calm’ – Selloffs May Turn Ugly

The relative calm in markets in recent sessions may turn violent, as key indicators continue to point to a worsening market environment. While markets have progressed lower in recent sessions, the selloffs have been extremely organized, which often leads to complacency among retail investors. In bear market cycles, institutional participants will capitalize on that complacency,… Continue Reading

Risk Under Attack – Good thing you were prepared

Riskier assets are taking it on the chin today, as the jobs report came in far worse than expected. As warned at the start of the week, the employment numbers were almost certain to fall short: This shortened week of trading is being capped off with the Jobs Report this Friday. This is not necessarily… Continue Reading