Friday, January 05, 2007
Worries Setting In?
Things looked so bright on Wednesday when the markets opened. The Dow rose quickly by more than a 100 points and the SPX was up by 12 points at its highest.
Then the Fed minutes were released which indicated that inflation was still a real danger. Hopes of an early interest rate cut were dashed and those gains were lost in an instant.
For those of you who read my last posting saw that I said much of this rally is being based on an early rate cut. If that doesn't happen then watch out!!!
Yesterday was another mixed day with the SPX finally posting a slight gain of 1.71 points to finish on 1,418.34 after being down on early trading by more than 6 points. Our play is in green and looking ok.
Loads of economic data was released yesterday which I have no time to dissect now suffice to say it all broadly came in near expectation. Oil prices have been dropping quickly and are now just under $56 a barrel. This is causing all the oil company stocks to fall which is dragging on the markets. However a strong move on the NASDAQ and tech stocks countered this and meant the markets finished up.
Today (Friday) sees the release of the jobs report and no doubt this data will dictate the mood of the market going forward as will oil and copper prices.
Until next time.
Then the Fed minutes were released which indicated that inflation was still a real danger. Hopes of an early interest rate cut were dashed and those gains were lost in an instant.
For those of you who read my last posting saw that I said much of this rally is being based on an early rate cut. If that doesn't happen then watch out!!!
Yesterday was another mixed day with the SPX finally posting a slight gain of 1.71 points to finish on 1,418.34 after being down on early trading by more than 6 points. Our play is in green and looking ok.
Loads of economic data was released yesterday which I have no time to dissect now suffice to say it all broadly came in near expectation. Oil prices have been dropping quickly and are now just under $56 a barrel. This is causing all the oil company stocks to fall which is dragging on the markets. However a strong move on the NASDAQ and tech stocks countered this and meant the markets finished up.
Today (Friday) sees the release of the jobs report and no doubt this data will dictate the mood of the market going forward as will oil and copper prices.
Until next time.
# posted by Paul @ 6:17 AM 
