Written by Gary
Midday Market Commentary For 09-16-2013
Markets have been sliding along sideways after opening 1% higher this morning. The averages are off slightly, but the Dow has remained above 1.05% while some of the small caps have retraced somewhat of their new highs.
Volume has also tapered off, but remains in the low to medium range as active trading is still evident with the bulls slightly in the lead as the averages melt up from the morning lows.
By noon the markets appeared to have some strength in believing that Fed Chairman forerunner, Janet Yellen, will continue to hand out free ice cream. The $VIX has dropped into the high 13's and I would expect the market to close in this current higher range.
Janet Yellen currently is the top contender for the Fed's chairman's seat as she's very much like Bernanke, so if chosen, you can expect more of the same policy regarding QE and rates. (Read: Free Ice Cream)
Janet Yellen won't alter Ben Bernanke's current policies. In fact, she might be even more skeptical of tightening policy soon given the recent decline in real GDP even as the unemployment rate has declined.
The DOW at 12:30 is at 15545 up 169 or 1.10%.
The SP500 is at 1704 up 16 or 0.96%.
SPY is at 170.98 up 1.67 or 0.99%.
The $RUT is at 1061 up 7.09 or 0.98%.
NASDAQ is at 3736 up 14 or 0.37%.
NASDAQ 100 is at 3185 up 7 or 0.22%.
The longer trend is up, the past months trend is bullish, the past 5 sessions have been positive and the current bias is bullish.
WTI oil gaped from 108.54 to 106.76 and continued to fall to 105.60 today. The session bias is negative and is currently trading down at 106.69.
Brent Crude is trading between 111.72 and 108.79 today. The session bias is negative and is currently trading up at 110.25. (A 0.25 gap is at 111.72)
Gold fell from 1334.69 earlier to 1307.45 and is currently trading down at 1318.24.
Dr. Copper is at 3.222 falling from 3.271 earlier.
The US dollar gaped down from 81.66 to 81.37, then fell further to 81.13 and is currently trading down at 81.35, the bias is currently positive.
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Written by Gary