4:00 pm ET: Risk-on or risk-off? That is the burning question. Yesterday it seemed as if everything was coming up roses but today's lackluster jobs numbers managed to erase any lingering euphoria. Today's action was strictly risk-off which explains the slide in commodities, foreign currencies, and stocks and the gain in treasuries and the greenback. In fact the bear US dollar etf (NYSEARCA:UDN) broke $27 support (its counterpart, the long US dollar etf (NYSEARCA:UUP) is still testing $22 resistance). Market internals are all painting a gloomy picture and I really don't think there will be any clarity in direction until after the election.
Have a good weekend!
Note to Subscribers: There is one new Stock of the Day (which I'm sure will be contentious). The writeup on the stock will be posted a little later.