Midday Market Commentary For 07-10-2013
Market movement mostly sideways with a negative slant after this mornings opening upward. One burst of green volume around 12:30 most likely based on rumors that are flying regarding the upcoming FOMC meeting.
Otherwise, the markets are flat, uninspiring and directionless as investors fear the unexpected negative musings from Ben Bernanke after the close. They could cause a ‘correction’.
Of course, everyone is wondering where the markets are going and some are predicting this and that. The real measuring yard stick is what the World is doing financially. Not what the politicians are saying will happen, but what what is actually occurring.
Italy, for example, is the World’s 9th largest economy and should it collapse there will be ‘heck’ to pay and the fallout will affect everyone. So hearing that Barclays is slashing the GDP is not at all surprising.
It was only a matter of time before Wall Street, over optimistically hockeysticking everything as always, slammed its wrong Q2 GDP forecasts following the earlier miss in Wholesale Inventories, which printed at -0.5% on expectations of a +0.3% increase, and down from a downward revised -0.1% (was +0.2%).
That time has arrived, with Barclays the first to slash its already stall speed 1.0% Q2 GDP forecast by a whopping 40% to 0.4%. Looking forward to the imminent revisions from Goldman and, of course, Joe “Almost as good as Groundhog Phil, almost” Lavorgna.
The DOW at 12:45 is at 15282 down 18 or -0.12%.
The SP500 is at 1651 down 1 or -0.09%.
SPY is at 165.03 down 0.11 or -0.07%.
The $RUT is at 1017 down 0.59 or -0.06%.
NASDAQ is at 3512 up 8 or 0.23%.
NASDAQ 100 is at 2994 up 10 or 0.33%.
The longer trend is up, the past months trend is bullish, the past 5 sessions have been bullish and the current bias is negative.
WTI oil is trading between 104.22 and 105.94 today. The session bias is positive and is currently trading down at 105.70.
Brent crude is trading between 107.71 and 108.68 today. The session bias is positive and is currently trading down at 108.318.
Gold rose from 1242.36 earlier to 1259.93 and is currently trading up at 1253.35.
Dr. Copper is at 3.090 rising from 3.031 earlier.
The US dollar is trading between 84.92 and 84.31 and is currently trading down at 84.38, the bias is currently bearish.
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Written by Gary