Thursday Outlook: Pump Up the Jam

The bulls have seized the tape for now. The news remains terrible but those that need to prop things find tidbits of news to rationalize buying. They cherry-pick what news they like, spin it in bullish fashion, and voila, up pops another rally to try to even things out for the week.

Ignoring Research in Motion’s (RIMM) disappointing numbers [it closed nearly 5% higher, DOH!] and focusing instead on Marvell Technology’s (MRVL) better than expected report demonstrated this point in the early going. Then the Fed’s Beige Book arrived at 2 PM and up we went because, as the spin goes, it wasn’t worse than feared.

Short-term the markets are now overbought once again but long-term remain very much oversold. Remember, as the end of last month proved those that needed to prop things up were able to do so as their fiscal year ended. In December it’s the season to be jolly and try to put some lipstick on this pig before the year ends.

Further, today marked another one of those 400 point intraday swings that have become all too familiar. This means market volatility is too hot to handle.

All of this leads to the ongoing reality we face.

Volume increased today and breadth was good but not great as our man in Geneva gives us the goods.





















































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