We got a round of the correlation game started this afternoon, but it went nowhere fast: either headline writers are getting smarter, or today’s action is just too tenuous even for them! We realize we’ve never codified the rules of this game before, so:
Get your officemates or pals together, and visit the financial homepage of any mainstream media outlet. Y! Finance, Bloomberg, even CNN Money will do.
Scan the top headline.
If the headline makes a dubious assumption about causation, everyone take a…
Maybe it’s just us, but markets seem really boring and indecisive this week. There’s not much to talk about unless you want to talk oil or bonds. We’re beyond sick of hearing and talking about oil (though we’re dipping a toe into some short positions here), and although bonds are always more exciting than people give them credit for (we’re still in love with munis this year), well, meh.
We’re in the mood to do another newsletter takedown, so if you…
The Dow shed one hundred points in the last hour and a half of trading. The Dow and S&P held onto some gains, but the Russell 2000 and the Nasdaq 100 actually closed the morning gap and ended the day in the red. The late day selling seemed to be led down by large cap tech, as GOOG AAPL RIMM BIDU all moved lower.
Volume was a bit higher – back toward average levels at least, though most of that came…
This week should be pretty volatile, with plenty of government data, earnings announcements, and Fed action to push markets to and fro. Many traders are paying special attention to the GDP announcement Wednesday morning and the FOMC news later that afternoon. As is our wont, we advise taking off some risk ahead of Fed meetings.
Markets were very quiet until the last forty-five minutes today, trading on very light volume, and the S&P 500 emini futures weren’t able to break above…
So the big question now is whether the markets are consolidating and setting up for another move higher, or are preparing to roll over from the lack of broad-based leadership. As energy and commodities power higher, the financials continue to act as a major drag – consider the chart at right comparing the S&P500 ETF (white line) with the Dow Jones Industrials ETF (blue line). The Dow has clearly outperformed recently, and without some relief in the financial sector, it’s…
Wednesday, June 18, 2008
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