Futures portended big gains at the opening bell today, and big gains is what we got. Only problem was that it lasted for only a few minutes before the bears came out yet again to send the major averages from gains of more than 1% to moderate losses in less than 30 minutes.
News that House and Senate leaders had agreed to some measure of a debt ceiling deal was the catalyst that initially sent stocks soaring, but a weak ISM Index for July
Updated 08-02-2011 at 10:19 AM by coolhand
08/01/11 Possible debt deal spells relief The Dow lost 97-points on Friday capping a week that saw both the Dow and S&P 500 close down every day as the uncertainty of the debt negotiations lingered. Now we see the real possibility of a deal to raise the debt ceiling and the futures are pointing sharply higher (Sunday night).
For the TSP, the C-fund lost 0.65% on Friday, the S-fund fell 0.22%, the I-fund gave up 0.27%, and the F-fund (bonds) jumped
As our elected officials continue the biggest game of chicken Washington has seen is some time, the perceived negative financial ramifications of allowing the U.S. to default is beginning to take its toll on the psyche of traders and investors as the deadline to avert such a disaster is now only hours away.
Of the two groups of TSPers that I track, one group is definitely taking a much more conservative approach this week as a result of
No deal led to market losses Stocks were down every day last week, a week where Washington was playing Deal or No deal. This puts the magnifying glass on this week’s action because the “deadline” for making a deal on the debt ceiling is Tuesday.
For the TSP, the C-fund was down 3.91% for the week, the S-fund lost 4.90%, and the I-fund gave up 2.15%. Bonds (F-fund) gained 0.66%, and the G-fund was up0.07%.
Trading started out ugly and small wonder too. With the market already reeling from non-progress in the debt ceiling negotiations, we got a negative revision to the Q1 GDP and then followed that up with a weak Q2 GDP number. In addition, consumer sentiment dipped, but the Chicago PMI number was healthy.
But the tone was set early on. At one point the S&P 500 got close to its 200 day moving average very early in the trading session, but
Updated 07-30-2011 at 07:09 PM by coolhand