THE CLOSE

Decent day on the street as the DJIA closed +286, NAZ +50 and SPX +29. And the old adage about markets that are strong all day tend to close at/near their highs, well, no better picture of that then today. And break in Larry Kudlow is bullish- yeah he was also very bullish at NAZ 5,000- very helpful.

Strong sectors included semis, banks, retail, brokers, homies, drugs and tech while gaming, airlines and biotech were green but lagged.

Banks were higher led by BAC C DFS JPM MA MTB WB WFC;

Consumers strong led by AXP GE K PG - SBUX weak;

Drugs very strong led by SGP and MRK;

Metals all higher led by BHP FCX SSRI PAAS;

Retail strong with the exception of M and CROX;

Tech strong with the exception of IBM and GOOG;

Big winners included BAM DEL C JPM MA BSC BX GS LEH MER CME ICE FAST INTC ROST CTSH SNDK ERIC VRTX PAYX AMAT BDK TGT AA AXP ATI MRK SGP HPQ CSCO CENX MTL PCR FCSX FTK and DRYS.

Big losers included MTOX SPAN EDU SIMO NTGR CPA CF HOC DWSN MNST WFMI and ERTS.

Market internals closed with 1,500 net winners on the NYSE and 1,300 net green on the NAZ.

The NDX/OEX were almost 9/1 green to red and shouted all day long that prices were going higher.

Volatility indexes - down 7% on the VIX and 10% on the VXO- and still not on sell signals as they trade only a few percent below their 10 day SMA's.

Two day RSI's on major indexes at 85 level with NDX a bit higher and RUT a little weaker.