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Santoli's Friday market notes: S&P 500 leaves a sideways May with the long-term uptrend intact

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This is the daily notebook of Mike Santoli, CNBC's senior markets commentator, with ideas about trends, stocks and market statistics.

  • On the first trading day of May, the S&P 500 hit 4206. It closed Thursday at 4200 and at this moment is at 4217. So nothing happened this month?
  • Not exactly. A sideways market for sure, but one that weathered a 4% pullback in two waves, refused to buckle under its 50-day average, sowed some frustration among investors that helpfully drained away excessive optimism, allowed valuation to moderate on stellar earnings, absorbed a mini-inflation panic and its subsidence, and ultimately left the benchmark firmly within a longer-term uptrend, even if this proves to be the top end of a range for now.
  • The index has shown some fatigue and wavering leadership (consumer, housing and semis softened a bit), yet with it all and thanks to sturdy credit markets has traded higher than the current quote on only two days in the history of bids and offers:

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