Bounce - After 6 consecutive down days, the market finally experienced a relief rally. The close was not all that exciting as the Dow finished up 75-points after being up 135 less than an hour before the close, but the bulls won't complain.. Current Daily Market Commentary Market Commentary for 6/10/11
TSP Talk Sentiment Survey results for the week of 06/13/11- 06/17/11 Buy: The TSP Talk Sentiment Survey came in at 41% bulls, 48% bears, for a bulls to bears ratio of 0.85 to 1. That is a buy signal so the system's allocation remains 100% S-Fund the week of 06/13/11 - 06/17/11. Bull market rules are in affect since 9/27/10: See latest survey results To discuss or comment on the Sentiment Survey, go to Sentiment Survey Talk
Stocks managed to break a string of losses today as the market had become quite oversold, which often leads to at least a short term relief rally. At the close, the DOW posted a gain of 0.63%, while the S&P 500 and Nasdaq were up 0.74% and 0.35% respectively. Our S fund saw a 0.56% gain, while the I fund was up 1.03%. Bonds took a hit, with the F fund down -0.15%.
Prior to the open, initial jobless claims for the week ending June 4 totaled 427,000, which was higher than the 423,000
Oversold - Stocks chopped around between positive and negative territory for most of the day yesterday. By the close, the Dow lost "just" 21-points but the broader indices fared a little worse... Current Daily Market Commentary Market Commentary for 6/09/11
Oversold becomes more oversold as the losses continue to mount. Today's action continues the market's reaction to Ben Bernanke's comments from late yesterday afternoon, but the World Bank contributed to the negative tone by dropping its 2011 economic forecast from 3.8% to 3.2%.
The latest Beige Book report did show that economic activity continued to expand in some areas, but there were some Districts that saw a deceleration of economic activity.
Then, Moody's issued