It was another roller coaster week in the stock market ending with a considerable sell off in Friday and increased market volatility. The market has been in a tight trading range the past few weeks with a S&P range of 1,320ish to 1,370 ish. There seems to be some major resistance around 1,350 and every time we get near there we sell off. If we break below 1,325 this week and hold there we could see a considerable pull back. I have been saying we are due for a correction or pull back for a couple of months now, but it has yet to come.
This Past Weeks's Market Moving News:
Manhattan grand jury has indicted a Frenchman, former managing director of the International Monetary Fund, Dominique Strauss-Kahn, on charges related to the sexual assault of a maid at a midtown hotel last Saturday afternoon.
Greece and Portugal debt concerns are coming to the surface again, and there seems to be hesitation to want to bail them out again.
Stocks declined for a third consecutive weekwith the Dow Jones losing 0.7% to 12512, while the S&P 500 lost 0.3% and Nasdaq 0.9%.
Economists lowered their growth outlook for the US economy from 3.3% to 2.8%
Linked-In went public blowing away expectation
Existing Home Sales came in weaker than expected
There seems to be a pattern of weaker than anticipated economic data coming out the past couple of weeks. I look for this weakness to continue until we get a reasonable plan on how to solve our debt issue and until we establish a solid pattern of job growth.
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