THE OPEN

Markets open mixed after cheery news of lower inflation was faded by the opening sellers. The lower inflation numbers have sent the bonds back up and the yield on the 10 year Bond is trading back to the 4.55% level. Be on the look out for allocators as some may start to sell the bonds and buy equities driving equities higher.

Sector winners include retail, oils, small caps, brokers and tech. To the downside, airlines, biotechs, trannies, drugs and banks.

Market internals are slightly red on the NAZ and +700 on the NYSE with a skew from the fixed income stocks.

I expect the markets today will fluctuate but not travel far in either direction. So I may be back to the buy the dip sell the rip scenario.