After a fast, short-term up-leg, traders picked up their selling interest again and dealt the major averages hefty losses across the board.
Perhaps we're seeing some front-running of a potential sell-the-news trade centering on any comments the Fed Chair may give regarding monetary policy moving forward, but there were other interesting cross-currents too.
For one, Apple's Steve Jobs announced he was finally stepping down
08/25/11 Stocks opened up like a shot out of a cannon, but sellers stepped in and took the indices into the red by early afternoon. The dip buyers said, thank you very much, and took the Dow back to the highs and by the close was up 144-points. For the TSP, the C-fund was up 1.32% yesterday, the S-fund gained 1.37%, the I-fund added 0.12%, and the F-fund
It wasn't a gap and go kind of day, but in spite of the volatility buying eventually outweighed selling as the major averages posted decent gains for the second day in a row.
Yesterday I mentioned that while gold fell 1.4% yesterday, Treasuries were relatively flat. I surmised that the out-sized gains we saw in the stock market didn't appear to be correlating to an equal sell-off in gold or treasury action.
I should have waited one more day because gold fell a whopping
Updated 08-25-2011 at 06:15 AM by coolhand
Stocks were due for an oversold / overly bearish sentiment bounce and yesterday we got it. The Dow gained 322-points and the trick now will be for the indices to follow-through and take out some resistance. For the TSP, the C-fund was up 3.43% yesterday, the S-fund jumped 4.23%, the I-fund gained 2.41%, and the F-fund (bonds) lost 0.31%.
As I mentioned yesterday, it could be that we are going to trade in
Perhaps it was inspired by a meeting currently in progress at Jackson Hole, WY, or more to the point, by a perceived Fed rescue, but whatever the reason today's action caught the bears off-guard as a seemingly innocuous open turned into a full blown bullish assault that saw the major averages post hefty gains across the board. At the close, the DOW had rallied 2.97%, the Nasdaq 4.29%, and the S&P 500 3.43%.
During the course of the rally