Futures up nicely after market was all over the map yesterday, opening strong but finishing flat…but:
The bond market is decently lower today as rates on the long end back up. This means we will get a little gap to the upside in financials. A few big financial names set up well with the best looking name continuing to be Citi (C). This will only help the market.
After a gross Monday for growth/beta, things seem to have stabilized for the second…for the second. We say that because we know what period we are in…the end of quarter window dressing period where the boys paint the tape in order to make things better. Of course, painting the tape is illegal so it does not happen. On top of that, Yellen was quite the market friendly yesterday. Blah blah we will take our time raising rates…blah blah roll back printing money but slowly…blah blah. Bottom line, we remain in the easiest monetary policy in history period as Europe and Japan still negative and still printing not to mention others. On top of all this, other fedheads along with Yellen have freely stated if things headed south, they can ramp up the printing presses in a nanosecond.
The SOX remains above the 50 day but trading more wide and loose. MU is gapping up 5% on strong numbers.
The Russell is at new highs as stronger oils have helped a lot.
The Transports at highs. Lagging to leading in weeks.
Would continue to screen oils/energy on a daily basis. Did not have to do that for about 8 months.
Most major indices above support/50- day avgs except the NDX as a few big names now an anchor. Of course, that can change.
Republicons could not get healthcare done. Not sure you can blame whole party as they missed on one vote. As much as I love McCain as a man, seems like he voted no out of spite. Go look at his rhetoric for past many years. He was all for a bill like this.
Tax proposal coming out today. I repeat…seems like a fly on an elephant’s ass and nothing…I repeat nothing about the size of government, the amount of government spending or the massive debt and deficits foisted upon the American public by politicians through the years, many still in office.
Heading to Ireland/Scotland tomorrow for some business and of course, lots of golf and touring. When the brains clear up, will have my thoughts on the NFL/Trump nonsense and the continued bs spewed by the national media who are trying to pin what is happening in Puerto Rico as Trump’s Katrina. As much as I am displeased with a lot of things with the President, enough is enough. The best of of best job has been done by all considering 3 huge hurricanes as well as Puerto Rico being an island.