Bulls Have Something to Be Thankful For

Market bulls were grateful to have been on the right side of the tape heading into the Thanksgiving holiday. Or could it have been a little bit of luck? We received economic data indicating that the labor market and consumer spending trends were improving, which is a positive sign for the macro recovery. Stocks were also helped along by European stocks rebounding from a six-week low as Ireland's government prepared to unveil a four-year deficit reduction plan. That said, this market could have witnessed a very ugly technical breakdown if the SPDR S&P 500 ETF fell through $118 today.

The Dow Jones Industrial Average ended up 144.14 points, or 1.31%, to close at 11,180. The S&P 500 rose 17.62 points, or 1.49%, to close at 1198, and the Nasdaq was up 48.17 points, or 1.93%, to finish at 2543.

CBOE Volatility Index traded down Wednesday, but volatility stayed elevated in January and February 2011 contracts. VIX closed lower by $1.07, at $19.56, on overall put contract vol

By admin posted about 1 year ago

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