The Closing Look

Stocks were relatively quiet on Wednesday as investors digested Tuesday’s large sell-off and the minutes of the Fed’s latest meeting. The minutes showed the Fed remains split and wants to wait for more data but is ready to raise rates ‘relatively soon.’ In economic news, mortgage applications slid -6% last week as mortgage rates continued to edge higher. A separate report showed the number of job openings fell to 5.4 million in August. Finally, Reuters reported that the European Central Bank may discuss extending its QE program past March 2017 at future meetings. Any sign of “more” easy money is designed to help stocks.

Gary’s Thoughts: While the markets sit, more deterioration showing up. 18,000 dow and 2119 s&p…continue to pay attention. Seeing a lot of names toppy, topping, topped. We are not kidding. Also…do not believe a word out of the fed. They have been saying they would raise rates for 22 months and only raised once…which in part, caused a 10% drop in worldwide markets. It is a joke that anyone even reports this nonsense. Whatever happened to the story “THE BOY WHO CRIED WOLF?”