econintersect .com

FREE NEWSLETTER: Econintersect sends a nightly newsletter highlighting news events of the day, and providing a summary of new articles posted on the website. Econintersect will not sell or pass your email address to others per our privacy policy. You can cancel this subscription at any time by selecting the unsubscribing link in the footer of each email.

15Dec2016 Market Update: DOW Can't Reach 20K Today, Strong US Dollar Pushing Precious Metals Down, Short-term Indicators Bullish, But Is The Santa Claus Rally Over

Written by Gary

Wall Street climbs higher, but short of yesterdays highs (SPY +0.6%). Strong U.S. dollar (103.13) has become a wrecking ball to oil, gold and silver as crude oil falls to its lowest level of the week at the $50 support, before recovering (WTI 51.15).

Here is the current market situation from CNN Money

North and South American markets are mixed today. The S&P 500 is up 0.66% while the Bovespa gains 0.03%. The IPC is off 0.53%.

Traders Corner - Health of the Market

Index Description Current Value Members Sentiment: % Bullish (the balance is Bearish) 75%
CNN's Fear & Greed Index Above 50 = greed, below 50 = fear 88%
Investors Intelligence sets the breath Above 50 bullish 66% Overbought / Oversold Index ($NYMO) anything below -30 / -40 is a concern of going deeper. Oversold conditions on the NYSE McClellan Oscillator usually bounce back at anything over -50 and reverse after reaching +40 oversold.

-5.32 NYSE % of stocks above 200 DMA Index ($OEXA200R) $NYA200R chart below is the percentage of stocks above the 200 DMA and is always a good statistic to follow. It can depict a trend of declining equities which is always troubling, especially when it drops below 60% - 55%. Following a major market correction, the conditions for safe re-entry are when:
a) Daily $OEXA200R rises above 65%
Secondary Bullish Indicators:
a) RSI is POSITIVE (above 50)
b) Slow STO is POSITIVE (black line above red line)
c) MACD is POSITIVE (black line above red line)
80% NYSE Bullish Percent Index ($BPNYA) Next stop down is ~57, then ~44, below that is where we will most likely see the markets crash. 40% S&P 500 Bullish Percent Index ($BPSPX) In support zone and rising. ~62, ~57, ~45 at which the markets are in a full-blown correction. 72% 10 Year Treasury Note Yield Index ($TNX) ten year note index value

25.75 Consumer Discretionary ETF (XLY) As long as the consumer discretionary holds above [66.88], all things being equal, it is a good sign for stocks and the U.S. economy 83.93 NYSE Composite (Liquidity) Index ($NYA) Markets move inverse to institutional selling and this NYA Index is followed by Institutional Investors


What Is Moving the Markets

Here are the headlines moving the markets.

Murdoch's Fox agrees $14.6 billion Sky deal to expand empire

LONDON (Reuters) - Rupert Murdoch's Twenty-First Century Fox has struck a $14.6 billion deal to buy European pay-TV firm Sky that unites a media empire across two continents and helps it take on rivals like Netflix in the battle for viewers.

Wall Street rises as banks jump on interest rate outlook

(Reuters) - U.S. stocks hovered near record highs on Thursday as bank stocks rose, and investors viewed the Federal Reserve's interest rate outlook as a sign of confidence in the economy.

Yahoo shares fall on worries new breach will kill Verizon deal

(Reuters) - Yahoo Inc shares fell more than 5 percent on Thursday after the technology company disclosed a second massive data breach that raised fears Verizon might kill a deal to buy its core internet business.

U.S. states sue Mylan, Teva, others for fixing drug prices

(Reuters) - Twenty states filed a lawsuit Thursday against Mylan NV , Teva Pharmaceuticals and four other generic drug makers, saying they conspired on pricing of two common generic drugs, according to a copy of the complaint.

U.S. banks must pay up to $2 billion more per year to shield Wall Street: Fed

WASHINGTON (Reuters) - The largest U.S. banks will have to pay as much as $2 billion more a year to insure against a future market collapse, the U.S. Federal Reserve said on Thursday, as it outlined a new rule designed to further protect the financial system.

Rising rents lift U.S. inflation; labor market tightens

WASHINGTON (Reuters) - Rising rents lifted underlying U.S. inflation in November, pointing to a steady build-up of price pressures in the economy that could support more interest rate increases from the Federal Reserve next year.

China expected to lose top U.S. creditor crown to Japan as yuan struggles

BEIJING (Reuters) - China will soon be dethroned by Japan as the top holder of U.S. government debt as the Chinese central bank has been dipping into its foreign exchange reserves to support the yuan, while its Japanese counterpart has been content to allow the yen to weaken, economists said.

Targeting U.S. automaker signals possible China retaliation over Trump talk

WASHINGTON/BEIJING (Reuters) - China's plan to punish a U.S. automaker accused of price-fixing is a sign of how Beijing could retaliate if President-elect Donald Trump upends decades of relations between the two nations.

New York regulator fines Italy's Intesa Sanpaolo $235 million

NEW YORK (Reuters) - Intesa Sanpaolo SpA , Italy's biggest retail bank, agreed on Thursday to pay New York state's financial regulator a $235 million fine for anti-money laundering failures and violations of bank secrecy laws, officials said.

Meet Donald Trump's New Press Secretary (Maybe)

Meet Fox News host Kimberly Guilfoyle, who as The Hill reports, is a contender to be Donald Trump's White House press secretary.

Guilfoyle, a host of the Fox opinion panel show, "The Five," was seen recently at Trump Tower for lunch with senior Trump transition team members, Politico said on Wednesday, citing two unidentified sources.

Guilfoyle is a former assistant district attorney in San Francisco. She was once married to former San Francisco Mayor Gavin Newsom, a Democrat.

She is said to have a friendly relationship with Trump's oldest daughter, Ivanka, and Ivanka's husband, publisher Jared Kushner.

Republican National Committee and Trump transition spokesman Sean Spicer is still seen as a leading contender for position, as is another Fox News personality, Laura Ingraham.

* * *

We know who gets our vote.


Silver Slumps To $15 Handle After Dollar's Biggest Surge Since Brexit

Carnage in precious metals continues as the dollar index soars to 14-year highs, surging most since Brexit...

The Dollar Index is now at its highest since Dec 2002...

And it's a bloodbath in barbarous relics...

Freddie Mac Issues Warning As Mortgage Rates Soar

Blink, and you missed your chance to refi. And according to nationalized mortgage giant Freddie Mac, it's about to get worse.

As shown last week, as a result of the recent spike in yields, the population of eligible refinance candidates has already plunged by more than half. As Black Knight pointed out, as of the end of November, though there are still 2M borrowers who could save $200+/month by refinancing and a cumulative $1B/month in potential savings, this is less than half of the $2.1B/ month available just four weeks ago.

Since then the number has shrunk substantially as rates have continued their relentless move higher.

According to the latest Wells Fargo refi rates, a 30 Year Fixed mortgage will now cost a prospective creditor some 4.625%. This was in the mid-3%s just a few months ago.

It was not just refis: according to the latest Freddie Mac update, the 30 Year Fixed has jumped to 4.16%, from 3.94% just a month ago, and 3.5% as of early October.

As Freddie notes in its latest press release, this week's mortgage rate survey was completed prior to the FOMC announcement. The 30-year mortgage rate rose 3 basis points on the w ...

Tesla Could Lose Lead in Electric Cars to Big Automakers

It is always tempting to frame competition in the car industry as a race. But making a killer product matters more than crossing the finishing line first.

Bank Investors Moving Too Fast on Rate Hopes

European bank stocks have risen with bond yields, but better interest income isn't yet here

Financials Are Cheap, Even After the Rally

Financial stocks could have room to rise further are interest rates keep climbing.

December 2016 Philly Fed Manufacturing Survey Significantly Improves and Remains In Expansion.

Written by Steven Hansen

The Philly Fed Business Outlook Survey improved significantly and remains expansion. Key elements were strong.

Market Extra: What Dow 20,000 means for stock-market investors

What's in a number anyway? That may be the question stock-market investors pose to themselves as the Dow Jones Industrial Average inches closer to the psychological milestone of 20,000.

Mark Hulbert: Why Dow 20K is the mark of an underachieving market

Dow 19K was only a few weeks ago, but the Dow Jones Industrial Average has actually been an underachiever this century vs. the last one.

MarketWatch First Take: Why Trump-Silicon Valley chasm is too wide to bridge

As Donald Trump meets chieftains from the tech industry, it's worth examining why Silicon Valley and the president-elect are at loggerheads.

Earnings Summary for Today

Earnings Calendar provided by

leading Stock Positions

Leading Stock Quotes powered by

Current Commodity Prices

Commodities are powered by

Current Currency Crosses

The Forex Quotes are powered by

To contact me with questions, comments or constructive criticism is always encouraged and appreciated:

Click here for Historical Releases Listing

Make a Comment

Econintersect wants your comments, data and opinion on the articles posted. You can also comment using Facebook directly using he comment block below.

Econintersect Live Market

Print this page or create a PDF file of this page
Print Friendly and PDF

The growing use of ad blocking software is creating a shortfall in covering our fixed expenses. Please consider a donation to Econintersect to allow continuing output of quality and balanced financial and economic news and analysis.

Keep up with economic news using our dynamic economic newspapers with the largest international coverage on the internet
Asia / Pacific
Middle East / Africa
USA Government

 navigate econintersect .com


Analysis Blog
News Blog
Investing Blog
Opinion Blog
Precious Metals Blog
Markets Blog
Video of the Day


Asia / Pacific
Middle East / Africa
USA Government

RSS Feeds / Social Media

Combined Econintersect Feed

Free Newsletter

Marketplace - Books & More

Economic Forecast

Content Contribution



  Top Economics Site Contributor TalkMarkets Contributor Finance Blogs Free PageRank Checker Active Search Results Google+

This Web Page by Steven Hansen ---- Copyright 2010 - 2018 Econintersect LLC - all rights reserved