THE OPENING

Markets are drifting higher this morning on the heels of merger Friday and some tepid jobs numbers.

The major market indexes are all up about .4% with the NDX the leader on the heals of YHOO.

Strong sectors include internets, metals, semis, airlines, gaming, tech, drugs and oils; leading lower are big cap biotech, retail and trannies.

Key stocks generally higher led by MS GS ICE BOT RIMM BIDU MER MGM SGP and MRK.

Lower stocks include GOOG MSFT (MSFT for YHOO news), AMGN DNA CME PG and MO.

Market internals are very strong on the NYSE with a net 900 green and not so strong on the NAZ with net 400 green.

The OEX/SPX have the best of the big 3 internals as they trade with better than 3/2 up to down.

The IBD 100 also strong with about 4/1 up to down led by ROCM PCLN NTGR BTJ GSOL CELG WBD WFR MT RIMM and PCU. Trailing are MIDD HWCC RYAAY OMCL UCTT SIMO and DWSN.

Volatility indexes down to the mid 12 levels and a shade under their respective SMA's.

The move to the old SPX high continues and I would be surprised if it did not happen next week.