Dow crossed 10,000 as all 30 gained

Stocks started very strong & remained at high levels all day (shown in the Bigcharts widget on the right), closing at its high. Dow advanced 204, advancers over decliners almost 4-1 & NAZ was up a very big 49. Banks picked up steam in the PM to firmly lead markets higher. However, the Financial Index is still below the 212 yearly high reached last month, shown in the chart below:

S&P 500 FINANCIALS INDEX

Value 193.32

Change 4.78

% Change 2.4%

MLPs continued strong. The Alerian MLP Index rose 2.87 to the 258s, getting close to its recent 265 high. The Dow Jones REIT index was up 3½, but at 163 staying near its sideways level around 160. Junk bond funds were mixed, near 2009 highs. The VIX, volatility index, fell 2¼ taking it below 26. The chart below shows its interim peak last week & retreat this week as fears eased. Treasures were flattish, the yield on the 10-year Treasury bond was off 1 basis point to 3.54%.

Alerian MLP Index --- 2 months




Dow Jones REIT Index --- 2 months




VIX --- 2 months





Oil slipped but gold managed a small gain. Oil remains firmly above the 65-75 range it lived in for many months while gold is pushing to cross 1100. Price advances for commodities were held in check from a firmer dollar which is not expected to represent a change in the longer term trend of a weak dollar getting weaker.

CLZ09.NYM

..Crude Oil Dec 09

..79.81

.. 0.59 ......(0.7%)

GCX09.CMX

..Gold Nov 09

..1,090.60

.. 3.90 ......(0.4%)

The House voted to extend & expand the tax credit to include many buyers who already own homes. The Senate approved the measure & the President will sign the bill tomorrow. In addition to the first time buyer credit, those owning a home for 5+ years will have a $6,500 credit available. To qualify, buyers in both groups have to sign a purchase agreement by Apr 30, 2010, & close by Jun 30. The builders may return for another extension early next year.

Extended Homebuyer, Jobless Aid Passed by Congress


Stocks did quite well today, holding their gains in the face of the jobs report tomorrow. Today's unemployment report helped calm some fears. Extending & expanding the tax credit for home buyers is a plus for the economy & stock markets. But fundamental problems of high unemployment driving weak consumer spending are not going away soon.


Dow Jones Industrials --- 2 months