September 7th, 2012
in Gary's blogging
Midday Market Commentary For 09-07-2012
By 12:30 the markets continued to move sideways while trading is an extremely narrow range with anemic volume.
Best described as another do-nothing session with the HFT computers unable to do anything either.
After moving sharply higher over the course of the previous session, stocks are turning in a lackluster performance during trading on Friday. A mixed reaction to the monthly jobs report is contributing to the choppy trading on Wall Street.
The major averages are currently turning in a mixed performance, with the S&P 500 up 3.62 points or 0.3 percent at 1,435.74, while the Dow is down 6.12 points or 0.1 percent at 13,285.88 and the Nasdaq is down 1.57 points or 0.1 percent at 3,134.24. Before the start of trading, the Labor Department released its closely watched monthly employment report, showing that employment increased by less than expected in the month of August.
While the data points to continued sluggishness in the labor market, the report has also increased optimism about further monetary stimulus from the Federal Reserve.
The RRR** continues to be very narrow and any trades will probably end up on the unprofitable side as long as this market remains flat and with low volume. Swing trading is at your own risk and being the market is at a crossroads of sorts, I would prefer to sit on my hands rather than risk guessing incorrectly.
The DOW at 12:30 is at 13279 down 12.41 or -0.09%.
The 500 is at 1435 up 3.51 or 0.24%.
The $RUT is at 841.60 up 6.65 or 0.44%.
SPY is at 144.13 up 0.36 or 0.25%.
The trend is up and the current bias is neutral.
WTI oil is at 96.11 trading between 94.12 and 96.60 and the bias is positive.
Brent crude is at 113.93 trading between 112.32 and 114.68 and the bias is negative.
Gold is up today at 1737.59, trading between 1689.20 and 1742.00 with a positive bias.
Dr. Copper is at 3.64 up from 3.51 earlier.
The US dollar fell from 81.45 earlier to 80.15 and is currently trading at 80.25.
** RRR = Risk Reward Ratio
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Written by Gary