Good morning. The market is under pressure this morning on news that China may shift
its foreign currency stockpiles away from the U.S. dollar. As a result, gold and oil prices are soaring and the dollar is pressing lower. Add this news to some bad bank earnings in Europe, word of an SEC investigation regarding recent bank disclosures, more writedown risk
, and disappointing earnings news from General Motors (GM)
and the bulls are going to have a rough time.
Premarket gainers:PSPT, DROOY, NILE, AVCA, UFPT, FWLT, PED, JRJC, ONXX, MNTA, WSII, GOLD, ATRO, GERN, HHGP, VPHM, ESLR, GSS, RGLD, XING, SSRI, SLXP, SPWR, BLDP, PAAS, and DSTI.
Premarket losers: NSTK, APKT, LACO, AINV, CCOI, GRMN, AIXG, EFUT, ANW, ESEA, EXM, CSUN, GIGM, NUAN, SIRF, SOHU, TASR, PTR, MPEL, VDSI, CPSL, SEED, BIDU, FSTR, FLR, AUDC, SOHU, CROX, DRYS, YHOO, and FMCN.
After the opening bell, we have reports on Wholesale Inventories at 10:AM, the weekly Petro Status Report at 10:30, Consumer Credit at 3PM and also some Fedspeak with Lacker (8:45) & Mishkin (9). After the closing bell, all eyes and hopes will be on Cisco Systems (CSCO) which has consistently surpassed earnings estimates. Remember to watch 1490 in the S&P in this morning's takedown since just about everyone else will have that front and center on their radar this morning.
Above all else, please be patient with yourself out there today. This tape is frustrating a lot of people and that is especially true for those trying to be far more aggressive than the market conditions will really allow. As they say, there's a time and place for everything and being very aggressive in this tape is going to get you into trouble quickly unless you're using very tight risk management strategies. Pick your spots and positions carefully.