Daily Investment Interpretations
October 17, 2011
(Monday Night): The
equity markets sharply lower today: Stocks
tumble 2% on Europe jitters, Merkel
Says Don't Get Hopes Up On Quick Solution to Debt Crisis. The
NASDAQ Composite slid 52.93
to close at 2,614.92. The Dow dropped
the S&P 500 backed up 23.72
to settle at 1,200.86. Oil moved up to 87.37; gold rose to 1,682.
The VIX popped 5.15
points to 33.39.
As I said on Friday, if the markets advance today on high volume, then it's on to a year-end rally. If not, it's back to the trading range.
And the answer is: it's back to the trading range.
Earlier today, State of the Markets published its Technical Talk: Does Volume Matter Anymore? Apparently, the answer is "yes", although it will take further downside action to cement that in place. German leaders today dashed hopes for a quick fix to the Eurozone debt crisis: Confidence Erodes as Leaders Downplay Expectations.
Some additional State of the Markets articles include:
G20 Finance Ministers Back Capital Increases For Big Banks
Beleaguered Banks: Book Values, DVA's and The Potted Plant Strategy
EU May Ban Naked CDS Purchases on Sovereign Debt
Citi's Earnings Report Includes 'Credit Valuation Adjustment'
Empire Manufacturing Index Well Below Expectations
Industrial Production Report Largely In Line
IBM Earnings Beat Estimates but Light on Revenues
Earning Scorecard: After the Bell
Marketwatch doesn't have many articles I'm including tonight:
Large U.S. firms outpace tepid U.S. growth
Are bond yields telling us something about future stock prices?
Market futures are down slightly tonight, but the S&P 500 closed today only 20 points below the top of its range. It wouldn't take a lot to move it on up out of its range.