Friends
Before my annoying caveats that it’s just a bear market rally/dead cat bounce, it was nice to see stocks move decisively higher today on this first trading day of the week. After the last two weeks which saw stocks fall about 11% it was nice to remember that stocks can go up too. OK, now back to those caveats. It is very likely that we have not begun a new leg in the previous secular bull market or even started the beginning of a cyclical bull market within a longer-term downtrend. It’s just simply an up day for stocks after a massive amount of selling, and as I mentioned, even if it is just for a day, it is good to see. We know we still have a lot of work to do with regards to inflation, the Fed, and the economy.
But for today, by the close the Dow Jones Industrial Average was up 641 points to finish the day at 30,530. The S&P 500 was up 89 points to close at 3,764. The Nasdaq Composite Index was up 270 points to close at 11,069. Gold was down $8 to trade at $1,832 per ounce, while oil was up $1.02 to trade at $110.58 per barrel WTI.
As I have mentioned recently, for now we might have to be satisfied with little victories. Let’s enjoy today’s gains and see if the bulls can make it two in row tomorrow. Stay tuned.
Have a nice evening everyone.
