Markets are having a good day following yesterday's drubbing. Dow is up 33, advancers over decliners 3-2 & NAZ is up 23. Traders were encouraged by economic numbers that were less bad than feared. The headlines were: Consumer Confidence Rebounds From 28-Year Low- Reuter, New Home Sales Fall But Stronger Than Expected- Reuters & Home Foreclosures Soar 121 Percent- CNNMoney.com. They report numbers coming in above the worst fears, good enough to bring back buyers.
Last night on CNBC-Asia, there was a lot of disbelief about how the financials could have their biggest gaining day in history last week & yesterday they had the biggest decline in 8 years. Declines continue as banks are pulling back on more profit taking, Bank of America (BAC) is down another 1+ to 29½. Two housing related stocks I follow: Stanley Works (SWK) & Masco (MAS), both members of the S&P 500 Dividend Aristocratic list, in sympathy with banks rebounded strongly from their lows only to pull back in the last couple of days. Today they have gains as shown in my Yahoo widget on the right.
Oil prices are down 2 to 123. Gas at the pump has eased back to a tad above $4 in recent days. Good to see consumers cutting back driving with higher prices.
The Alerian MLP index is up 1½ to 266, but remains near the 262 yearly low. REITs participated strongly in the recent rally, but are pulling back. Junk bond funds still can't get no respect. A couple I follow bounced up then sold off. For the brave, 12% yields are very attractive. While they may have to deal with bad loans going forward, they do not have mortgages.
No comments:
Post a Comment