Friends
The “Teflon” market continues to climb the “wall of worry”. Bad consumer confidence numbers this morning coupled with awful housing numbers, did not deter traders from buying stocks today. The S&P 500 closed above 1319, right at a resistance level. 1323 is the next level on the upside that traders would like to see penetrated with 1330 being a major target to confirm a bigger move. Stocks have basically recovered everything that they lost earlier in March and with the quarter end on Thursday, the pressure is on fund managers who were sure that this market was going down.
As I mentioned, the quarter end is Thursday, and Friday we get the all-important employment numbers. It is a dicey moment to put money to work for traders, as fund managers hope to mark up their favorite positions thus supplying supporting bids through Thursday’s session. With the new quarter beginning, and the unemployment number released before the opening on Friday, we expect some active trading later in the week. Will managers try a get a jump on the new quarter and do some buying, or will they decide that they want to do some selling on Friday as the new quarter begins?
On Friday, we will begin to discuss our 2nd quarter outlook. With a lot of global problems, real-estate just a mess, and the likely end of QE2, we should have a lot to talk about. We will be preparing our report that goes out with the quarterly summary statements soon. In the meantime we keep you updated with our e-mails.
Have a nice evening everyone. We’ll talk on Friday.
