Join        Login             Stock Quote

Early Look: Renewed Worries Over Greece

 September 19, 2011 10:54 AM

The markets are sharply lower this morning on the heels of overnight losses in Asian markets last night as well as pronounced weakness in Europe this morning. Last week was a nice reprieve to the selling, as the markets bounced back 5%. But this morning there are renewed worries about Greece's ability to meet its debt obligations.

President Obama is set to deliver a speech about balancing the federal budget, which will include some ideas for new taxes on the "rich". Don't expect this to do much of anything to help the markets.

Outside of that, there isn't a ton of news. There was some M&A speculation that Goodrich (GR) will get a bid, and Tyco is set to spit itself up. But most of the days action is simply sentiment driven.

The dollar is higher today relative to the euro and yen. And commodities are lower. Oil prices have fallen back to $85, while gold prices are also lower near $1785.

As for the 10-year yield, is has fallen back below the 2.00% level and currently is hitting 1.96%. The VIX bounced off its 50-day average and is up 12% right now to 34.75.

Trading comment: It was a little uncomfortable to remain so defensive last week as the market climbed higher for 5 straight days. But without any improvement on the fundamental front, it seemed that any bit of bad news to resurface could knock the market right back down. That is the feeling I have this morning, although technically the market is still in this rangebound battle. SPX 1140 has been holding in as support while 1230 has been resistance. As the range narrows, we will get closer to a breakout. The high levels of bearish sentiment support a breakout to the upside, but the fragility of the market make it a tough bet.

long SH


Comments Closed

rss feed

Latest Stories

article imageWorld Growth: Mediocre or Pathetic?

The recent disappointing performance of the world economy has been labelled as the "new mediocre" by read on...

article imageSurvey Data For US Services Sector Hint At Mild Q2 Rebound

Yesterday’s discouraging numbers on job growth in April via the ADP Employment Report raise doubts about a read on...

article imageADP: US Job Growth Stumbled In April

Employment growth at US companies slowed in April to the weakest gain in three years, according to this read on...

article imageBogle Says Indexing Destined To Win The Battle Of The Quants

Vanguard founder John Bogle gave a powerful speech last month at the Q Group’s Spring Seminar that lays out read on...

Popular Articles

Daily Sector Scan
Partner Center

Fundamental data is provided by Zacks Investment Research, and Commentary, news and Press Releases provided by YellowBrix and Quotemedia.
All information provided "as is" for informational purposes only, not intended for trading purposes or advice. iStockAnalyst.com is not an investment adviser and does not provide, endorse or review any information or data contained herein.
The blog articles are opinions by respective blogger. By using this site you are agreeing to terms and conditions posted on respective bloggers' website.
The postings/comments on the site may or may not be from reliable sources. Neither iStockAnalyst nor any of its independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. You are solely responsible for the investment decisions made by you and the consequences resulting therefrom. By accessing the iStockAnalyst.com site, you agree not to redistribute the information found therein.
The sector scan is based on 15-30 minutes delayed data. The Pattern scan is based on EOD data.