Before the Open (Dec 26)

Posted on by Jason Leavitt

Good morning addicts (yes, if you’re here today, you’re an addict). Happy Friday. Merry Christmas if that’s your thing; otherwise I hope you enjoyed your day off.
The Asian/Pacific markets closed up across-the-board (although some were closed). China rallied 2.8%; Malaysia and Taiwan also did well. Europe is closed today. Russia is up 1.4%. Futures here in the States point towards a positive open for the cash market.

The dollar is up. Oil is up, copper is up. Gold and silver are up.
Going back to the big up day on Wed, Dec 17, the S&P put in its biggest 5-day rally in three years. Both the S&P and Dow are at all-time highs, and although the small and mid caps have lagged a little overall, they’ve done great recently.
The key right now is the indicators. If they can climb to healthy levels, a sign of strength will be offered and the market is likely to continue up into the new year. But if the indicators can’t climb much, the rally that started in the middle of last week isn’t likely to last long or go much further.
The indicators I’m referring to are of course the AD line, AD volume line, new highs, percentage of stocks above certain moving averages and at shorter-term highs. We need to know the strength is broad-based, not concentrated. Pretty simple. Resist having a strong opinion. Let the market guide you. More after the open.
Stock headlines from barchart.com…
The International Council of Shopping Centers reports that early retail estimates show the best holiday sales in 3 years.
Novartis (NVS +0.71%) announced that the Japanese Ministry of Health, Labour and Welfare approved its drug Cosentyx for the treatment of both psoriasis vulgaris and psoriatic arthritis.
DigiTimes reports that Sony (SNE +2.21%) is set to launch a large-size tablet in Q1 of 2015 that will sell for more than $1000.
Bloomberg reports that the New York Supreme Court rejected Credit Suisse’s (CS -0.04%) attempt to block a lawsuit seeking $10 billion in damages from the NY Attorney General accusing the bank of fraud in sales of mortgage-backed securities.
Citigroup (C +0.22%) announced that it has reached a definitive agreement to sell its retail banking business in Japan to Sumitomo Mitsui Banking Corporation.
The Biotechnology Value Fund reported a 6.29% passive stake in Sophiris Bio (SPHS +4.55%).
Earnings and Economic Numbers from seekingalpha.com…
Today’s economic calendar:
4:30 PM Money Supply
4:30 PM Fed Balance Sheet
Notable earnings before today’s open: none
Notable earnings after today’s close: none
Other…
today’s upgrades/downgrades from briefing.com
this week’s Earnings
this week’s Economic Numbers

0 thoughts on “Before the Open (Dec 26)”

  1. ABE has things moving in Japan and a new defense minister. Good?. The need for loans in Japan and Korea is high, and the governments support new offerings. We are taking a business team shortly to see what is happening. Believe it or not, Liquidity is falling globally. We feel that moving money may be the more profitable business this year. Worried about bonds which may rise in prices??? NO.
    Best,

  2. Notice how the financial markets unfold on the unlikeliest days. Be it crude oil which on thanksgiving day turn out to be the beginning of a breakdown. The Dow hitting its second milestone for the year right bcefore christmas and seeing the Russell 2000 reaching its all time high today

  4. Nasdaq is not far fetched from its pre-tech bubble price peak. Won’t be suprised if it hits that before sector rotation starts to take effect in or throughout the first quarter of 2015.

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