Dips are being bought and the market isn’t going anywhere.

4:00   What can I say today that hasn’t been said over the past few sessions. Actually not much as the market volume is still low, Mr. Market reacts on some news and not on others (like worse than expected earnings) and helicopter Ben didn’t give market participants (the few that remain) what they wanted on Wednesday (QE3).

The same old thing, intra dips are being bought and the markets persist to cling on to thin air “hopium”. Even the opening gaps down were bought up. Rick Ackerman called the drop in gold a stampede of the ignorant after Ben Bernanke‘s meaningless speech yesterday.

Goldman today, twice, revised downward their tracking estimate of Q1 from 2.0% (which was 2.3%) to 1.9%. Evidently the HFT real-time data can change on a dime.

The day started out O.K. with an upbeat employment numbers, the markets moved up smartly. But then the ISM Manufacturing data came in far below what was forecast. On top of that construction spending was off too. But Mr. Market finally shrugged that off and climbed to new intraday highs.

The Eurozone received bad news this morning.

“Eurozone hit by triple data blow. Data released today shows how the eurozone economy continues to weaken, with unemployment hitting a euro-era record of 10.7% in January and highlighting the sharp divergence between north and south. February PMI improved to 49.0 in February from 48.8 in January, but the sector is still contracting, while inflation rose to +2.7% from +2.6%”

Finally by this afternoon the markets fell to yesterday’s close and then recovered somewhat towards the close.

I bet DaBoyz made a bundle taking all the ignoramus’ money today.

So tell me why is the market still up?

Written by Gary