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A late sell off spoiled a good day for the stock market on Friday but it wasn't all that bad considering the strength we saw earlier in the week. However, we come into this busy week with the indices fairly stretched to the upside, and some sluggish action on Thursday and Friday as we head into the meat of earnings season, and yet another Fed interest rate hike. The Dow is now on a 10-day winning streak, the longest in several years. Bonds (F) were up slightly, and a powerful rally in the dollar ...

If you were in stocks this week, you enjoyed the first half with the TSP stock funds stretching to new 2023 highs. But the choppy action in the second half of the week makes you wonder if the bulls are losing their grip on this market.


Reasons to be Cautious

The poor action on Thursday cannot be summed up as healthy consolidation of the recent bull run. The selling was provoked by disappointing earnings reports from the tech giants Netflix and ...

The headline on CNBC's website after the market closed yesterday was that the Dow gained 100+ points to notch a 9-day winning streak, but clearly there were issues in the market, especially in the tech heavy Nasdaq, and that could be a game changer unless some of those bigger tech companies can impress investors with earnings and guidance in the coming week or two. Bonds were down as yields bounced off support, and the dollar rallied again.

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Stocks closed off their highest levels of the day yesterday but it was basically the same old story as the melt-up continued. The Dow added 109-points and, other than a strong dollar holding back the I-fund yesterday, most of the US indices closed higher. Bonds and the F-fund were up as well as yields continue to slip off of the early July spike higher.

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Stocks are in melt-up mode at this point as the A-I hype seems to be blooming right before our eyes. As irrational as the stock market can be, there's nothing like a bubble that that can put things over the top - pardon the "top" pun, and look past valuations. The Dow gained 367-points with the top three weighted stocks in the average, UnitedHealth, Microsoft, and Goldman Sachs, all up between 3% and 4% on the day, helping it lead the way. Yields slipped sending bonds and the F-fund ...