This morning, a strong manufacturing activity report brought the buyers back into the market. In addition, the latest bailout package for Greece also calmed investors' nerves, at least for the day. Housing and building sectors were very strong today. MLM and VMC kept pushing higher, adding +4.1% and +2.81%, respectively. The REITs, SPG, CBL, and MAC all recorded intraday new 52-week highs! Shippers broke out today as investors speculate on higher shipping rates due to BP's oil spill: OSG +6.13%, FRO +5.34%, TK +6.83%.
The Dow was up +143.22 points; SPX added +15.57 points; Nasdaq rose +37.55 points:
Techs were strong with SOXX (semiconductors) up +2.63% and INX2 (internet) up +2.06%. XLF (financials) bounced +1.92% while HGX (housing) added +2.41%. XLE (energy) battled back into the green. XME (metals and mining) was under pressure by Australia's new mining tax. PBW (clean energy) rose +1.98%. FXI (Chinese ADRs) advanced +0.91%.
This market has been "see-saw"ing back and forth within a tight range. Both SPX and Nasdaq closed at their respective 10-day MAs; above which they can turn bullish again. It was impressive to see some mining and energy stocks fight their ways back to close in the green today. Even RIG, with all the problems in the Gulf Coast, closed up +0.82%. X traded down by more than $2 in the morning, but closed up by 31 cents! However, the market is still oscillating within a range, and has been doing so for almost 3 weeks. Although it probably does not feel like it, especially with all the new 52-week highs that we have been seeing, SPX and Nasdaq are basically back to where they were in mid-April! We'll have to see if the market can get follow-throughs on today's buying and retest the recent highs (SPX 1220; Nasdaq 2530).
Good night and HappyTrading! ™
Disclosure: no positions