US equity indexes mostly closed broadly higher, SPX +33pts (0.7%) at 4472. Nasdaq comp’ +1.1%. Dow +0.3%. The Transports settled -0.2%. R2K +1.1%
sp’60min
Summary
closing hour action: minor chop, leaning a touch weak. S/t momentum weakened, but remains on the high side. A full fill of yellow gap is the threat, before the 4500s.
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… and that concludes a Wednesday. With a break >4458, the door is wide open to the 4500s, and whether its hit before the weekend or shortly after.. really doesn’t matter.
I see the bears as shut out until (at least) the next FOMC of July 26th. With today’s CPI, a rate hike is less likely. Certainly, some at the Fed would like to pause until after the Labor day (Sept’4th) break.
Yours truly is content on the sidelines… contemplating the years past, and wondering how many I have left.
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notable bond yield proxy: TNX
Yields plunged on the CPI data, and now its merely a case of whether the monetary maniacs at Print Central believe they can ‘extend the pause’ beyond Labor day.
If they do back off… it’ll be a problem for the dollar, as other central banks – not least the BoE and ECB, can be expected to hike into the Fall.
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notable banking ETF: KRE
Regionals higher with the main market, but especially helped as bond prices climbed.
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notable stock: JPM
Higher with the sector. Earnings are due early Friday.
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A fine evening. Have a good evening
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more later on the VIX and Indexes by 6pm EST