October 29th, 2012
in Gary's blogging
Closing Market Commentary For 10-29-2012
The East coast is flooded and I heard from an unconfirmed source that 2 feet of snow is expected after Sandy moves through.
Very little has happen today in the foreign markets and I expect the US markets to be closed Wednesday as well, BUT THIS UNCONFIRMED.
Please read this report I put out on Friday, This Market Has Been One Gigantic Suckers Rally
If you are in Florida, enjoy the sun and play a round of golf.
Today's closure of the New York Stock Exchange at the hands of Hurricane Sandy is not the first time it has closed its doors. Still, history has proven the exchange is a hearty institution and the bar is set very high for such a shuttering.
Some of those major closures according to the New York Stock Exchange's website:
1865 — The exchange closed for over a week after the assassination of President Abraham Lincoln.
1873 — Following the failure of Philadelphia bank Jay Cooke & Company on September 19 the stock exchange closed for ten days amid national financial panic.
1914 — World War I lead to the longest closure of the exchange beginning on July 31. It did not open entirely for over four and a half months.
1933 — The exchange closed for President Franklin Roosevelt's bank holiday.
1963 — The exchange closed early on November 22 after the assassination of President Kennedy.
1985 — This marks the last time the NYSE closed for weather as Hurricane Gloria slammed into the eastern seaboard.
2001 — Markets closed for four days following the September 11 terrorist attacks.
While Hurricane Sandy is expected to batter the East Coast, its market impact is less clear. Sam Stovall, chief equity strategist at S&P Capital IQ examined the behavior of the markets following hurricanes. He says in his latest note:Individually, the market's performance following major hurricanes has been uneven, as equities are more likely driven by wider-reaching global events than localized natural disasters. On average, however, the S&P 500 rose between 3% and 6% in the subsequent one through six months. Of course there is no guarantee that history will repeat itself.
CME index futures will open at 7 p.m. ET for overnight trading, but will close again at 9:15 tomorrow morning (before a second day of market closures - the first time weather has closed the NYSE for consecutive days since an 1888 blizzard).
Guessing where the market is going to be tomorrow or next week, at this time anyway, is a foolish endeavor.
The DOW is closed today because of hurricane sandy.
The 500 is closed today because of hurricane sandy.
The $RUT is closed today because of hurricane sandy.
SPY is closed today because of hurricane sandy.
The longer trend is up, the past week's trend is bearish and the current bias is down according to the futures being published today.
WTI oil was down this morning at 85.70 and recently starting rising is at 85.31 trading between 85.35 and 86.40 and the bias is positive.
Brent crude was up today and is at 109.21 trading between 108.52 and 110.28 and the bias is neutral.
Gold is down this morning. Currently trading down at 1713.60, trading range is between 1717.20 and 1707.06 with a neutral bias.
Dr. Copper is at 3.51 down from 3.56 earlier.
The US dollar rose from 80.14 earlier to 80.42 and is currently trading at 80.33.
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Written by Gary