The market saw another day of slight weakness despite the Nasdaq and S&P finishing in the green. While the early excitement showed some signs of a potential pop, Oils emergence as the day’s winner coupled with those not wanting to hold through tomorrows fed meeting, sparked some caution. The metals continued their retreat, which bodes well for the market and the strength in retailers and semiconductors is also worth noting.

Nothing in today’s action changes our thesis about the potential for Mr. Market to throw us a little holiday cheer. We feel a sector rotation occurring from defensive positions back into proper bull market leaders and continue to believe the performance anxiety plaguing money managers is not being given the credibility and respect it deserves.

Tomorrows fed meeting may be the catalyst needed or could even set us back a little. While there shouldn’t be a single market participant surprised with another rate hike, should the verbiage in the statement be a bit more dovish, we may entice enough buying to start a buying rush. 

Despite remaining patient, Shark HQ is keeping busy refining the master list should the environment warrant some rapid capital deployment. We encourage you to do the same and not be caught off guard should Mr. Market decide he wants to make a big move, regardless of the direction.

Have a good evening.