(As of 7:23 am pacific)
It feels like a tired market
today as the previous day’s gains are being digested. Summer doldrums are making for a very mild
day. There is activity on selected
stocks based upon earnings or analysts upgrades. One economic report showed US productivity up
1.6%, higher than expected and, unrelated, another Fed governor chimed in on
further quantitative easing, indicating that no more easing is required. Those types of statements suck liquidity out
of the markets, just as yesterday’s comments (exactly opposite) create
liquidity. Hence we have a slightly down
market which feels more positive than it is.
The dollar is mixed, mortgage rates are trending higher and gold is
up. Oil is up slightly upon supply
concerns after a significant rally over the last couple of weeks. While positive momentum is picking up, it
would not surprise me to see a day of mild profit taking.
