Dave Fry's Market Outlook For Friday

Thursday may appear a stalemate when just viewing the close but stocks managed to recover from early losses to finish the day... um, sideways?

It is quite a battle taking place given the drag from high oil prices on psychology coupled with more poor earnings from the financial sector. But, despite all that stocks were able to overcome the bad news.

Once again the sideways action is confirmed by market internals with tech still leading the way higher according to the Wall St. Journal:


Let’s focus first on the trouble spots.







In the following commodity-based markets please note how well the pure commodity ETFs are doing compared to their stock brethren. When stock markets are tentative so too will be stock-based ETFs no matter their linkage to hot commodities.













The other news today came from bonds where the interest rate cut “now not later” crowd was bidding up bonds. With the poor news from housing and lenders continuing this should slow down the consumer and hence the economy.







Tech remains the leader. GOOG beat estimates this afternoon and the stock is trading off about as much as it rose in the regular session on a sell the news profit-taking.









Around the globe thing’s are still rockin’.





















Okay, so we’ve “pushed” so far this week. Tomorrow is another day and everything could change. Markets are volatile and incredibly tense. In this environment everyone feels like they’re on thin ice. But that’s the market we have.

By tomorrow afternoon we should have our updated public podcast interview with the Emerging Markets Monitor [London] posted. Given the dramatic performance and broad interest you may wish to give a listen.

And for a fun look at the energy situation you might enjoy this video.



Have a great weekend.

Disclaimer: Among other issues the ETF Digest maintains positions in: USO, DBE, GLD, DBP, GDX, IGM, SPY, MDY, IWM, EWZ, GML, ILF, GMM, EMM, INP, FXI, GXC, EWA and TKF.