Ticonderoga Securities Market Strategy Afternoon Reflections
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Ticonderoga Securities Market Strategy Afternoon Reflections by John Stoltzfus
Better than expected housing starts statistics earlier today— along with the afternoon’s FOMC decision showing the Fed remaining highly sensitive to and supportive of a modest economic recovery, though not announcing an expansion of debt purchases— provided the market with enough clarity to fluctuate and muddle as it headed towards the end of the day.
From our viewpoint, the market’s behavior appeared to evidence a need to take a pause long enough to digest the day’s data as well as further assess yesterday’s surge to the upside that set off bull alerts across the landscape.
We expect tomorrow’s mortgage and home price data points along with initial jobs claims and durable goods orders later in the week to provide enough information for the market to develop further definition and clarify its direction ahead. Stay tuned.
Markets Today
Stocks stateside fluctuated today ahead of the FOMC announcement this afternoon on speculation that the Fed might signal the need to step up its debt purchases and apply further monetary easing. Stocks fluctuated after the Fed’s announcement as the Fed signaled it’d be willing to ease monetary policy but did not increase its holdings of securities. As the end of the trading day neared, stocks were trading mixed, near flat with mixed bias.
Four of the 10 GICs or economic sectors of the S&P 500 were trading higher in late afternoon, with telecom, industrials, healthcare and energy the best performers. Consumer discretionary, materials utilities and financials were the day’s worst performers, with modest losses. Large caps relatively outperformed small and mid caps.
The major European bourses closed mostly lower today, with the exception of Spain’s IBEX Index and Sweden’s OMX Stockholm Index. The Stoxx 600 closed off 0.45%. Only three of the 10 GICs or economic sectors of the broad index closed higher, with energy, industrials and consumer discretionary the best performing sectors. The three worst performing sectors were financials, materials and utilities. Stocks in Europe were broadly weaker ahead of the Fed’s FOMC decision today and on continued concerns related to growth prospects for the region.
Better than expected housing starts statistics earlier today— along with the afternoon’s FOMC decision showing the Fed remaining highly sensitive to and supportive of a modest economic recovery, though not announcing an expansion of debt purchases— provided the market with enough clarity to fluctuate and muddle as it headed towards the end of the day.
From our viewpoint, the market’s behavior appeared to evidence a need to take a pause long enough to digest the day’s data as well as further assess yesterday’s surge to the upside that set off bull alerts across the landscape.
We expect tomorrow’s mortgage and home price data points along with initial jobs claims and durable goods orders later in the week to provide enough information for the market to develop further definition and clarify its direction ahead. Stay tuned.
Markets Today
Stocks stateside fluctuated today ahead of the FOMC announcement this afternoon on speculation that the Fed might signal the need to step up its debt purchases and apply further monetary easing. Stocks fluctuated after the Fed’s announcement as the Fed signaled it’d be willing to ease monetary policy but did not increase its holdings of securities. As the end of the trading day neared, stocks were trading mixed, near flat with mixed bias.
Four of the 10 GICs or economic sectors of the S&P 500 were trading higher in late afternoon, with telecom, industrials, healthcare and energy the best performers. Consumer discretionary, materials utilities and financials were the day’s worst performers, with modest losses. Large caps relatively outperformed small and mid caps.
The major European bourses closed mostly lower today, with the exception of Spain’s IBEX Index and Sweden’s OMX Stockholm Index. The Stoxx 600 closed off 0.45%. Only three of the 10 GICs or economic sectors of the broad index closed higher, with energy, industrials and consumer discretionary the best performing sectors. The three worst performing sectors were financials, materials and utilities. Stocks in Europe were broadly weaker ahead of the Fed’s FOMC decision today and on continued concerns related to growth prospects for the region.
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