Friends
Stocks slumped today as a tame Producer Price Index report didn’t seem to entice buyers to get involved. The market averages spent the day in negative territory and even late in the day dovish comments from Fed Governor Bullard didn’t turn the tide. After a robust July, August is proving to be a difficult month for the bulls. The question remains, can the bears build on this momentum and cause some real technical damage. So far the damage has been contained.
For the day, the Dow Jones Industrial Average was down 113 points to close at 15,337. The S&P 500 was down 8 to finish the day at 1685. Gold was up $14 to trade at $1334 per ounce, while oil was up $.08 to trade at $106.91 per barrel WTI. Technicians are watching to see if 1682 holds as support for the S&P. If the bears can break that level they may be able to deliver more than a 2% pullback. Once again, the bulls will remain adrift if they can’t get the S&P back above 1700.
Tomorrow we’ll see the Empire State Manufacturing Report, along with the weekly jobless claims number and the Consumer Price Index. The past couple of weeks have been difficult for the bulls. Let’s see if they can turn things around, or will the bears have the upper hand into late summer?
Have nice a nice day everyone.
