Jared Woodard from Condor Options is out with a great post detailing some of the ways the option market has changed (in his opinion, maybe for the better) since the financial crisis.
Read the article here.
Comments »Market Update
U.S. equities opened flat to down a bit. After trade in and out of positive territory the markets took a small nose dive to being down currently .52%
Oil which was up on mid east tensions has pared gains to being down $0.42 @ $92.37 a barrel.
Gold is off a few bucks and the other metals are down a small fraction.
The euro trades near the high of the session as Merkel has returned from her vacation to iron out plans on saving the euro. European markets closed down about 0.25% on average.
Comments »Global Markets and U.S. Futures Trade Mixed Near the Unchanged Line
On Deck: A Europe Dominated Week Ahead
Market Update
Another day of chop around the flat line has the bulls in contention of seeing the S&P rise above 1405 and challenging 1420ish over the next week of trade…imo.
Laggards like materials and industrial companies are doing well in a choppy market.
Gold looks interesting here. A break above $1640 will be challenged soon and will let investors know which way the shiny metal will trade over the next couple of weeks to months.
Go eat a samich.
European markets close to the downside
[youtube://http://www.youtube.com/watch?v=aOZ89AepCBI 450 300] Comments »A Tale of Two Economic Data Points
Rail traffic continues to expand suggesting the economy is still chugging along.
Air traffic cargo shows weak and falling industrial production.
Comments »Gapping Up and Down This Morning
Gapping up
FIO +24.2%, BONE +11.8%, AONE +11.5%, SMTX +6.7%, NVDA +5.4%,
RICK +5.1%, BYI +2.9%, BCS +2.2%, JWN +1.9%, GLUU +2.3%, JIVE +2.3%,
JDSU +2.1%, JNS +11.8%, AONE +11.5%, SPPI +4% , BCS +2.2%
Gapping down
UBNT -34%, PEGA -11.2%, DGIT -9.8%, SMG -8.8%, SPRD -8.6%, WAVX -6.5%,
JCP -6.1%, MNST -6%, BRKS -6%, OTEX -5.8%, YHOO -3.8%, MITT -3.4%,
LGF -3.2%, ARNA -1.8%, ELX -1.4%, OCZ -1.3%, GNC -1.1%, DNKN -1%,
MTL -2.7% , SSNC -2.2%, NVO -0.7%, NQ -5%, MNST -4.7%,
Comments »Import Prices: Prior -0.3%, Actual -0.6%…Export Prices: Prior -1.4%, Actual +0.5%
Asia Trades Mixed, Europe is Down Across the Board, and U.S. Futures are Off by 0.3%
Yields for Italy, Spain, France, and Germany …
Comments »Transport Divergence Now at 5%
Pay close attention here as the transports usually lead the markets.
Comments »Wholesale Inventories Fall
“WASHINGTON (Reuters) – Wholesale inventories in June recorded their largest drop since September as the value of petroleum stocks fell by the most in more than 3-1/2 years, government data showed on Thursday.
Total wholesale inventories slipped 0.2 percent to $481.9 billion, the Commerce Department said, after being almost flat in May. The percentage decline in June was the largest since September.
Economists polled by Reuters had expected stocks of unsold goods at U.S. wholesalers to rise 0.3 percent after increasing by a previously reported 0.3 percent in May.”
Comments »Market Update
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Gapping Up and Down This Morning
Gapping up
ZN +13%, AONE +12%, MM +11.9%, GNOM +9.8%, MDRX +6.7%,
DDS +6.5%, NQ +6.5%, MBI +5%, NOK +4.9%, TNGO +3.8%, CXW +3.4%,
AMRN +3.2%, FTK +2.3%, CSCO +2%, PANL +1.2%, BZH +4.9%,
KBH +2.5%, CSCO +2.6%
Gapping down
WIFI -13.3%, MNST -9.7%, SPWR -7.5%, MUX -5.9%, SGEN -5.7%,
TNK -5.1%, INFI -4%, CHTR -3.6%, KGC -3.2%, NWSA -3%,
UHAL -2.3%, TOT -1.5%, INTL -1.5%, APC -1.1%, SAP -1%, SEM -5.3%,
TOL -1.1% , NTAP -1%, AFL -0.9%,
Comments »Initial Claims: Prior 365, Market Expects 375k, Actual 361k
Asia is Mixed, Europe is Down, and U.S. Futures Show Little Action Near the Upper Trading Band Resistance
Asia Opens to the Upside
The Nikkei is up nicely, but Australia is down. For the most part Asian markets are drifting higher.
Comments »China CPI Data Hits a 30 Month Low
“Chinese consumer prices climbed 1.8 percent in July, which was slightly higher than the 1.7 percent economists were expecting. Nevertheless, this was down from 2.2 percent in June.
Producer prices fell 2.9 percent, versus expectations for 2.6 percent.
“China CPI growth is at 30 month low, but will most likely start to rise again next month,” said Bloomberg BRIEF economist Michael McDonough.
Here’s a chart breaking down historical Chinese CPI courtesy of McDonough:”
Comments »The Farrell Sentiment is About to Scream BUY, BUY, BUY !
Doug Kass points out that Bob Farrell’s sentiment indicator is on the verge of a screaming buy. Who is Bob Farrell ? A 25 year veteran of Merrill.
Comments »A New Measure to Size Up Too Big to Fail
“Too central to fail” instead of “too big to fail”: whether banks pose a risk to the financial system when they get into distress has more to do with their level of networking than with their size. Economic researchers at ETH Zurich have developed a method to deduce the “systemic importance” of banks from their complex connections within financial networks.
“Between 2008 and 2010 a total of 22 banks formed the innermost circle of the financial crisis. They were so intensely connected with each other through credit relationships, mutual equity investments and financial dependencies that the distress of any single one of them could endanger the entire financial system. [..]”
Comments »U.S. Equities Pare Early Losses, Remain Weak on Fed Comments
U.S. equities pared early morning losses to trade near the unchanged level. The markets still remain weak on comments from a fed president out of Dallas stating that adequate stimulus is already in place.
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