Sunday, September 27, 2009

Evening Briefing for September 27th

* MARKET THEMES FROM FRIDAY: Stocks traded lower once again on Friday, taking many of the market sectors out of their uptrends. We're seeing significant resistance in the ES contract just below 1050. Although we made day over day lows in the major averages, only 276 more stocks declined on the day than advanced. The U.S. dollar closed off its highs; gold and oil closed off their lows. Ten-year Treasury rates continued lower; they show significant resistance around the 3.5% area. Several sectors have sustained solid declines this past week, including the commodity-sensitive energy and materials shares. I will be watching closely early this week to see if we can stay above the 9/14 lows; I'll be updating my views via Twitter during the week.

* OVERSEAS/OVERNIGHT NUMBERS: Germany, CPI; 6:30 PM CT - Japan, CPI. Earnings reports scheduled for Monday can be found here; its a light calendar.


-- Excellent wrap of the market week;

-- Thanks to a wise reader for passing along these insights about banks and lending;

-- Stark view of the unemployment situation, despite the economic recovery;

-- Which ETFs are strong and weak and a great look at the implications;

-- Fascinating research on how our minds rewrite memories; thanks to a sharp reader for the catch.