It's a big week on the international front and not just from our side. The Bank of England and the Bank of Canada will be making announcements next week plus the Bank of Japan says it's going to start draining liquidity from its system in advance of its first rate hike in years. |
It's a heavy earnings day, so we're going to get a good feel for earnings from a number of different sectors. So far earnings have been good, with 70 percent of companies beating expectations. |
It's been a pretty bad month, but today was a pretty good ending under the circumstances, considering that crude oil closed at a new high and that GDP numbers were so poor, |
It's been a pretty bad month, but today was a pretty good ending under the circumstances, considering that crude oil closed at a new high and that GDP numbers were so poor. |
It's clear that employment growth this time around has been sub-par compared to previous economic recoveries. You need about the number of jobs that we're adding now just to stay even with the number of people entering the economy. It's very possible that we're going to continue to see sub-par growth. |
It's going to be a quiet open as most of the traders have already put positions based on their expectations on what they believe is going to happen this afternoon. |
It's going to be a really busy day. All of this means you're probably going to see a lot of volatility. |
It's hard to say how the market will react to this tomorrow. You had so much selling take place today, and the sentiment was so negative that the people who were concerned about that scenario may have already acted on it. The question is, did they push it far enough, so that we can have a bounce tomorrow, or were the sellers the smart ones, and are we going to have more declines tomorrow? |
It's interesting to see gold prices so high, it is certainly something traders will be paying some attention to. |
It's not that the earnings we've seen so far have been bad, ... it's that you have companies like Pfizer saying they've lost visibility for 2006 and 2007 and maybe beyond that. |
Market participants still expect the Fed to go another quarter point on Tuesday. |
Most traders will really be positioning for the October employment report. Economists are expecting that non-farm payrolls rose by approximately 50,000 during the month, providing evidence that with two straight months of employment growth, the jobs picture is finally turning around. |
Next week is big. You have something coming out almost every day of the week that's important. |
One of the recent themes has been the falling dollar, higher materials and commodities. If that is reversing, you could see a rotation out of materials and commodities. At the same time, oils are getting hit by falling crude prices. |
Overall, the Intel mid-quarter update was quite bullish, |