Stocks like Goldman Sachs Group, Inc. (NYSE:GS) and JPMorgan Chase & Co. (NYSE:JPM) are leading the markets higher today ahead of the Beige Book at 2:00pm ET and Consumer Credit at 3:00pm ET. JPMorgan is higher by almost 3% on the day while Goldman Sachs is almost the same. The financial companies were the weakest sector for months, topping out in April 2010 and falling dramatically from those highs. Just one week ago they switched to leaders. Since then, the markets have thrived, surging 6% in one week. A strong financial sector usually means a strong market. Watch to see if the financial stocks continue their party.
The Beige Book will be important for the market and should be watched closely. Volume is dead mid day prior to the Beige Book and Consumer Credit. Once these reports are released, the markets should react and volume should come back. Stay tuned for further details.
Chief Market Strategist