(As of 7:00 am pacific)
Risk is ‘on’ again. European leader Draghi’s comments got things
rolling and then a series of positive economic reports added to upward momentum
and the market is on fire right now.
Earnings reports, although mixed, have been generally positive, also
helping the surging markets. The dollar
is down big against most currencies and oil and gold are up. Other commodities are mixed. Interest rates yields are up slightly. Volatility is down significantly. I think this gain is solid and short sellers
will be forced to liquidate positions, creating a ‘melt-up’, a situation that
occurs when those betting against the market are forced to buy back their short
positions. We could see further gains as
the day moves along.
