MARKET CLOSE

Markets close with a small bounce off the bottom as the DJIA closed down 88, NAZ down 20 and SPX down 7.5.

Strongest sectors included brokers as GS closed up $2.6; MER+$.61 and MS +$1.8 while the banks also acted well with JPM BAC and C all closing green. Bottom sectors included tech, semis, airlines, trannies, metals, small caps and retail.

Large cap growth is starting to act crummy again as large value was the best performing of the big 4 while small growth was second and small value third.

Internals on the major indexes didn't change much from the morning lows as the SPX had 130 winners; NDX 15 and OEX with about 30. Overall internals were weak but did show some midday improvement as the close had about 1,800 net red compared with over 2,000 net red earlier in the day.

Closing 2 day RSI's on the NDX was 8; SPX 22 and DJIA 5 as some volatility has returned the markets.

VXO/VIX combo closed higher but hardly in a buyable area as they still trade below their respective 10 day SMA's.