Good morning. We have a slight negative bias this morning following strong selloffs in overseas markets (Nikkei, Hang Seng, FTSE) and a fresh batch of earnings reports. In addition, there are
concerns that private equity firms are in the process of bailing out of their hot deals over the past year.
Premarket gainers: ACOR, MATR, MDVN, SILC, LNY, SIRI, GLW, SPWR, SLM, MBRK, WCG, DNDN, and NVDA.
Premarket losers: MELI, ADS, ABK, BDK, HMY, YRCW, CRNT, JRJC, FSNM, RTP, CFC, MBI, WAG, CSUN, PCU, AKNS, CSIQ, DRYS, BIDU, FSLR, LDK, SOLF, and AAPL.
A report on new home sales comes out at 10:AM, but earnings and analyst commentary will remain key ahead of the Wednesday afternoon Fed decision on interest rates.
After last week, the best bet going forward is to expect a large dose of volatility as traders reposition and try to get ahead of the next large scale move after the Fed. 70% now expect a 50 basis point cut (100% believe we'll see at least a 25 bp cut) according to Fed Funds futures.
Like last week, the market's performance greatly depends on Bernanke even though we'll have a lot of earnings reports to focus on. Let's make it a great week!
