Good morning. Happy Wednesday.
The Asian/Pacific markets closed mixed and with an upward bias. China, Hong Kong, India and Japan did well; Taiwan did not. Europe is currently mixed. None of the market have moved much from their unchanged levels. Futures here in the States point towards a flat open for the cash market.
The dollar is up slightly. Oil is up, copper down. Gold is flat, silver down.
The market posted a huge gain on Monday and then yesterday held the gains very well. Now we have the day before a holiday, so the action is likely to be slow and come without much excitement. Wall St. is a big voting booth. The higher the volume, the more traders are voting in favor of a move. Without volume, we have to question if the movement is the consensus of many of the will of a minority. So whatever happens today cannot be trusted. We’ll have to wait for volume to pick up to confirm whatever price action takes place.
Speculation in China the reserve-ratio requirement will be lowered helped boost Chinese stocks today.
Deere (DE) is out with earnings…the stock is down 3.3%.
Scholastic (SCHL) updated it profit forecast for the year. The stock is down 24%.
Iron Mountain (IRM) is issuing 17 million shares of common stock.
Chipotle Mexican Grill (CMG) is buying back $100M in stock on top of the $100M it already announced.
Cirrus Logic (CRUS) is buying back $200M in stock.
My bias in the near term remains up. We got a mini washout last week when a few breadth indicators spiked to extreme levels. With pent up buying interest and shorts sitting on profits, the first move off a low level is the easy move. Then real buying, buying from big players, needs to take place to maintain the move. That’s what I’d start looking for right now, but with the holiday, everything gets put on hold until next week.
Happy Thanksgiving.
headlines at Yahoo Finance
headlines at MarketWatch
today’s upgrades/downgrades
this week’s Earnings
this week’s Economic Numbers