At 9:30 AM EST, the opening bell sounds and the SPX prints 2000 again in the
first minute of trading. The bulls are unstoppable as they break open the lock
on the liquor cabinet door and begin drinking and celebrating early. The Dow is
above 17.1K again and SPX moves above 2001; a stock market odyssey. The
dollar/yen is dead flat at 103.88. The VIX is dropping and the SPX is climbing.
At 10 AM, Consumer Confidence is 92.4 up from the 90.3 last
month and well above expectations. At 10:01 AM, the SPX prints an all-time
intraday record high at 2002.77. The headline Con Con is robust and equities
move sideways after an initial drop off the new all-time high.
At 10:48 AM, the SPX prints another new all-time intraday
record high at 2003.81. The bulls are in frenzy pushing equities higher. The
SPX prints above 2004 at 10:54 AM. The Dow is beginning to break out to new
all-time highs now at 17150 only a buck away. The all-time intraday high for
the Dow is 17151.56 on 7/17/14 five weeks ago. The Dow all-time closing high is
17138.20 on 7/16/14 so the Dow is already above this number and will print a
new record closing high if price remains above 17138.20. The bulls are
relentless providing no mercy to bears. Short-covering creates mini boosts in
equities with the SPX at 2004.73 at 11:03 AM.
News wires say that Hamas and Israel have reached a new
cease-fire deal which adds further bull fuel.
At 11:10 AM, the Dow moves above the prior all-time record
high and prints a HOD at 17152.23 overtaking the prior record by less than one
point. At 11:16 AM, both the SPX and INDU print further new all-time highs. The
bulls are fueled by central banker easy money and the shorts giving up the
fight. Interestingly, the VIX turned positive a short time ago and despite the
new record market highs, volatility is moving higher continuing yesterday’s
theme. Volatility and equities move inversely over 90% of the time so something
very special is ongoing in markets currently. One of them is wrong; either
volatility will plummet to prove the market upside is real and sustainable, or,
the stock market will begin retreating to honor the higher volatility.
At 11:16 AM, the SPX prints 2004.86 and the Dow prints
17153.80 the highest numbers in stock market history. The trannies are near but
not threatening new all-time highs as yet. Dow Theorists will be looking for
this follow-through. The NDX is currently logging a 10-day winning streak
printing 14-1/2 year highs. The stock market is led higher by the larger cap
tech stocks such as AAPL and GOOGL; this is why the NDX is outperforming. This
price action is concerning since one of the signs of a significant stock market
top is when a smaller and more selective group of stocks continue to push the
broad indexes higher; like now.
The joy in today’s market sends European markets strongly
higher. At the same time, the European bond yields continue to print record low
yields. JPM says that the ECB will provide an easing program next week which
creates more stock market bull fuel. Stocks may be printing record highs in the
States and strong in Europe but at the same time investors continue chasing
into notes and bonds (higher prices lower yields). All asset classes move
higher fueled by the central banker easy money. Global assets are overpriced
across the board due to the multi-year central banker intervention. The Fed and
other CB’s have destroyed price discovery; no one actually knows what any asset
is truly worth anymore.
At 11:29 AM, the SPX prints 2005.04 another record high. The
COMPQ joins the party printing a new 14-1/2 year high at 4573. Bullish traders are
staggering around trading floors drunk off the Fed wine and buying any stock
with a heartbeat; it does not matter what stock since the central bankers will
continue pumping markets higher forever. Markets are typically bullish the last
two days before a holiday weekend (Thursday and Friday of this week) but the
party has already started. The dollar/yen moves above 104 so the weaker yen
fuels the market upside. The 10-year yield remains steady at 2.39%. JNK (high-yield bond ETF) sneaks higher above the June record highs.
At 3 PM EST, the SPX is printing at the 2002 palindrome trying to close above 2K for the first time in history. The new record all-time intraday high is 2005.04 the 11:29 AM high remaining in place so far today. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.
Note Added 4:01 PM EST: The session ends with the SPX printing a new all-time intraday high at 2005.04 and new all-time closing high at 2000.02. The SPX closes above 2K for the first time in history--albeit by two pennies. Volume remains light. Keystone plays the Twilight Zone theme song on his Martin as he watches to see if price settles at the 2000.02 palindrome, or not.
Note Added 4:01 PM EST: The session ends with the SPX printing a new all-time intraday high at 2005.04 and new all-time closing high at 2000.02. The SPX closes above 2K for the first time in history--albeit by two pennies. Volume remains light. Keystone plays the Twilight Zone theme song on his Martin as he watches to see if price settles at the 2000.02 palindrome, or not.
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