The Closing Look

Stock Market Commentary:

Before Thursday’s open, futures and most global markets, were down big as another wave of selling hit stocks. Overnight, Sweden’s Central Bank surprised markets and cut its main repo rate further into negative territory. Sweden lowered its rate to negative -0.5%, from -0.35%. Crude oil fell to $26/barrel and gold soared to a fresh 1 year high. At one point, the Dow Fell over 400 Points and the S&P 500 briefly undercut Jan 20, 2016’s low of 1812 before buyers showed up and defended stocks. In the afternoon, news spread from OPEC that they may be near a deal to cut production which helped oil prices spike higher. Needless to say, stocks are deeply oversold and way overdue to bounce at this point.

Gary’s Thoughts: Our serious over-the-top, imbecilic guess…probably got another decent divergence today that leads to the upside. How much? Don’t know! How far? Don’t know! But any bounce/rally will not change the big picture. It would just give the markets and investors some relief!