Now that Bank of America (BAC) takes a $17 billion dollar fine that clears the deck for the stock to rally over 4%. This pulled the financial sector, a large weighting in the S&P 500 Index, much higher. Away from the financial sector markets were mixed to messy.
Elsewhere global news was mixed so was the reaction to them.
In China PMI Mfg Index Flash fell sharply to 50.3 vs 51.5 expected & prior 51.9. Pundits (again) expect stimulus as they have for the past two quarters. But U.S. China ETFs were having none of it and sold several lower including popular FXI.
Europe PMI Mfg Index Flash also slowed to 50.8 vs 51.3 expected & prior 51.8. But European stocks rose overall as hopes Draghi will launch more stimulus. He’s in Jackson Hole and may make such themed comments.
In the U.S. Jobless Claims fell slightly to 298K vs 300K expected & prior 312K; PMI Mfg Index Flash was much better to 58 vs 56.3; Existing Home Sales improved to 5.15M vs 5M expected & prior 5.03M; and, the Philly Fed continues to rise despite respondents indicating a significant drag from Obamacare to 28 vs 20 expected & prior 23.9.
Leading market sectors higher included: Financials (XLF), Banks (KBE), Regional Banks (KRE), Tech (QQQ), DOW (DIA), Small Caps (IWM), Semiconductors (SMH), Value (VTV), Europe (VGK), Europe/Pacific (VEA), European Monetary Union (EZU), Russia (RSX), Italy (EWI), Bonds (TLT), Crude Oil (USO), and Natural Gas (UNG).
Leading market sectors lower included: Retail (XRT), Biotech (IBB), Gold Miners (GDX), Junior Gold Miners (GDXJ), China (FXI), Emerging Markets (EEM), Gold (GLD), Platinum (PPLT), Base Metals (DBB), South Korea (EWY) and Hong Kong (EWH).
The top 20 market movers by percentage change in volume whether rising or falling is available daily.
Volume remains light and breadth per the WSJ was modestly positive. Looking at money flow below it’s easy to spot where the action was.
The shorter presentation today is due to fewer interesting changes from Wednesday with the exception of financials, China and China related markets.
Yellen has the big microphone in the Tetons and her voice could carry a long distance from the mountain range.
Let’s see what happens.
Dave Fry is founder and publisher of ETF Digest and has been covering U.S. and global ETFs since 2001.
He is the author of "Create Your own ETF Hedge Fund: A Do-It-Yourself Strategy for Private Wealth Management" published by Wiley Finance and "The Best ETFs: U.S. Equities, A Companion Guide to Building Your ETF Portfolio".
Disclaimer: The charts and comments are only the author's view of market activity and aren't recommendations to buy or sell only any security. Market sectors and related ETF's are selected based on his opinion as to their importance in providing the viewer a comprehensive summary of market conditions for the featured period. Chart annotation's aren't predictive of any future market action rather they only demonstrate the author's opinion as to a range of possibilities going forward. More detailed information, including actionable alerts, are available to subscribers at www.etfdigest.com
|WTI Crude Futr||93.53||-0.43||-0.46 %||15:00|
|US Dollar||82.36||0.15||0.18 %||15:23|
|Brazil||2572.013||0.26 %||5.82 %||15.95 %|
|Russia||689.470||1.15 %||4.64 %||-12.38 %|
|India||505.438||-0.11 %||1.88 %||24.09 %|
|China||66.592||-0.73 %||0.89 %||5.53 %|