Market averages at 10 month highs

The jobs report was encouraging for buyers, stocks shot up out of the gate & remained solidly in the black throughout the day. But profit taking in the PM reduced gains. Dow added 113, advancers over decliners 3-1, NAZ was up 27 (taking it just over 2K) & the S&P 500 went up 13, back over 1K. Banks are on fire, leading the markets higher although gains were trimmed with selling late in the day. Even doggy Citigroup (C) went over 4, but had to settle for a gain of only 6¢ to 3.86.

S&P 500 FINANCIALS INDEX

Value 193.14

Change 5.08

% Change 2.7%

Buyers found MLPs in the PM. The Alerian MLP index gained 1.83 to the 243s. REITs are red hot after being largely ignored this year. The Dow Jones REIT Index shot up another 8 to the 163s, not seen since early Nov. Junk bond funds also rose, typically up 1+%. The VIX, volatility index, had been in the 20s recently. Now it's at the low end of its recent range, down 1+ to the 24s & close to the yearly lows. When stocks rise, money may flow out of bonds as it did today. The yield on the 10 year Treasury remained up 11 basis points 3.86% thru the close.


Alerian MLP Index --- 1 month




Dow Jones REIT Index --- 1 month




VIX --- 1 month





Oil didn't participate in the rally, but above 70 remains high.

CLU09.NYM

..Crude Oil Sep 09

..70.70

.. 1.24 ......(1.7%)

Averages keep rocketing ahead, the start of earnings season was the beginning of the current push upward. Dow is up 17% already (what is considered an excellent year) since Jul 10. Dow had a great start for this week, muddled along in the middle & finished with another good day for a net gain of 200 for the week. Reality such as dreary unemployment numbers & poor sales in many areas (housing, autos, retail, etc.) did not disturb buyers. On the margins, junk bonds, which have not seen their low point, continue on a roll. Until something reverses this train of thinking, stocks will keep climbing that wall of worry.

Dow Jones Industrials --- 1 month