- The First Tradable Rally In Three Weeks
- Stock "Circuit Breaker": Will There Be One?
- Was That The Bottom?
- Watch Value Of Credit Default Swaps Backed By Lehman Bonds
- Uncertainly In Credit Markets Just One Of Key Issues
- Street Despair: No Visibility of Earnings
- Traders Find Their New "Nirvana"?
- Short Sale Ban On Financials Is Over: Make A Difference?
- Paulson To Blame For Late Sell-Off? Read This First
- Why Stock Traders Are Fixed On Bond Market
- Lightning Round OT: AFLAC, Valero and More
- Lightning Round: Chesapeake, Corning, J&J and More
- Cramer: What’s the Worst-Case Scenario?
- Game Plan: The Crash of '87 Scenario
- Cramer’s Double Secret Borrow-Binge Plan
- Your First Move For Monday October 13th
- History In The Making
- The S&P 500 Loses $1.8 Trillion in Market Cap for the Week
- Web Extra: GE & Goldman Sachs
- Stock Market Crisis: Nation's Mayors Sound Off
- US Banks Keep Pressure on SEC to Deal With Shorts
- Financial Crisis Has Inflationary And Deflationary Potential
- What the Pros Say: Swap Jitters, Bottom Searches
- Viacom Warns of Third-Quarter Profit Shortfall
- US Consumers Lose Faith in Fed Due to Crisis
- Jefferies' Hogan: Market Will Bottom Today
- Traders Needing Cash Even Dumping Bonds
- Greenspan Sees First Half 2009 U.S. Housing Recovery

There are several reasons we ought to get modest buying interest today: 1) ISM was stronger than expected, 2) start of the quarter is traditionally more of an up than down day, as traders put new money to work, and many nibble on beaten-up groups, and 3) we had a 90% downside day June 26th, which coming on dramatically oversold conditions should attract some buyers.
And yet, buying interest remains muted, a fact that is preoccupying technical analysts this morning. For example, Lowry's noted that "the failure to rally is occurring in the face of persistent short term oversold readings suggests substantial underlying weakness in the market."
There's no doubt we are in unconventional times. The big issues aren't going away: capital raising/writeoff worries for the financials, tapped out consumers, no clear bottom in housing, and global inflation.
Still, the question remains: how long will the "go long commodities/short financials" trade go on? Forget energy stocks--materials like steel and metals are already looking toppy, with many in a downtrend for the past two weeks:
--Freeport-McMoran [FCX
Loading...
()
]topped out in May;
--Nucor [NUE
Loading...
()
]at the lowest levels since April;
--Alcoa [AA
Loading...
()
]at the lowest levels since February
--International Paper [IP
Loading...
()
]at a 17 year low.
related content |
Questions? Comments?


