Markets closed higher on what appears to be an over sold bounce- SPX +8, DJIA +69 and NAZ +5.

Market internals- not so great - closed flat with an equal number of winners and losers;

Best sectors- solar, china, steel, oils and banks while gaming, semis and trannies brought up the rear.

VIX- down 4% at 20.43 and a hair under the SMA 10;

Up volume about 1.5X the down;

10 year Note- 3.799%;

Cramer with a good idea on realmoney.com- suggesting buying the natty gas cos like XTO etc. as they are probably big take over candidates with nat gas at/near $8 down from almost $13;

Cramer also probably right on FRE/FNM - stop the nonsense and the trading of these stocks already- they are ZERO - perpetual options - let the government take them out and let the equity holders get the well deserved proceeds as they have been warned for years about the toxicity of these stocks.

Some think that a takeover of these two stocks will yield a big rally in financials- not sure but worth pondering.

Bottom line for today- another low volume day where folks push around prices, and they do - which is why we go up and down and generally end no where- although we are now digesting the over sold state of the markets;


Post a Comment

Subscribe to Post Comments [Atom]

<< Home