S&P 500 FINANCIALS INDEX
The Alerian MLP Index was down pennies still in the 267s but the REITs index rose a big 6½. Junk bond funds were mixed to higher. The 10-year Treasury bond inched up, reducing its yield by 1 basis point to 3.20%.
Alerian MLP Index --- 2 months
Dow Jones REIT Index --- 2 months
Oil bounced off its 75 floor while gold eked out a gain near its record highs.
|CLF10.NYM||Crude Oil Jan 10||77.28 || 1.23 |
|GCZ09.CMX||..Gold Dec 09||..1,176.00 ||.. 1.80|
The Federal Reserve Bank of New York said it will sell securities from its portfolio, with an agreement to buy them back later (reverse repos). Reverse repos are a tool the FED uses to drain money to ease financial troubles. They said the operations will be "extremely small" & won't affect the FED's key interest rate. This move should be viewed as testing the waters to get ready for unwinding (selling) massive amounts of Treasury debt (over $2T) which it owns.
The drab reading on BlackFriday sales along with questions raised about Dubai debt were very dark clouds overhanging the markets. But they adjusted well & ended with gains. The jobs report with the important unemployment rate for Nov is coming on Fri.
Dow Jones Industrials --- 2 months