(As of 7:13 am PST)
It is a battle of sorts, with
weak economic data out of Europe pulling US stocks down in spite of positive
data out of the US. Europe continues to
be mired in recession with a recent PMI number coming in at 46.5. Any reading below 50 indicates business
contraction. On the other hand, a US
flash PMI report came in at a very healthy 54.9, another in a string of reports
showing that the US economy is starting to hum.
Jobless claims continue to be at 5 year lows, construction is up and leading
economic indicators also rose. Gold is
up moderately and oil is down, after a healthy gain yesterday. Mortgage interest rates and rates in general
are drifting lower as the uncertainty of Cyprus and Europe in general create a
desire for the stability of US dollar assets.
I expect strong US data to win the day and that early losses will give
way to a positive day on US stock markets.
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