Markets Remain Inactive
May 20, 2015

Markets were quiet most of the day as participants waited to read Fed Minutes release at 2 PM.

For those investors hoping to glean a nugget or two which could give them insight into Fed thinking regarding a June rate hike, the Minutes did not disappoint. Those nervous about any interest rate hike suggest Fall would be  logical time -- if the economy improved.  Attention will now shift to Fed Chair Yellen’s Friday’s 1 PM speech.

Little noticed in the Minutes were suggestions by some governors some asset sector prices had become stretched, but did not name them.

After the Minutes were released stocks rallied from their unchanged levels but then fell back to close slightly lower to flat. The dollar rally eased as fresh interest rate hikes seemed off the table allowing gold and commodities to bounce higher.

Leading market sectors higher included: Biotech (IBB), South Korea (EWY), Philippines (EPHE), Vietnam (VNM), UK (EWU), India (EPI), Indonesia (IDX) Junior Gold Miners (GDXJ), Crude Oil (USO) and not much else.

Leading market sectors lower included: Banks (KBE), Regional Banks (KRE), Transports (IYT), Russia (RSX), Taiwan (EWT), China (FXI) and not much else here either.                                                               

The top 20 market movers by percentage change in volume whether rising or falling is available daily.

Volume continues to be quite light as both bulls & bears need a spark one way or another. Breadth per the WSJ was unremarkable.

5-20-2015 6-27-05 PMDIARY

Charts of the Day

    SPY  5  MINUTE













    The NYMO is a market breadth indicator that is based on the difference between the number of advancing and declining issues on the NYSE. When readings are +60/-60 markets are extended short-term.




    The McClellan Summation Index is a long-term version of the McClellan Oscillator. It is a market breadth indicator, and interpretation is similar to that of the McClellan Oscillator, except that it is more suited to major trends. I believe readings of +1000/-1000 reveal markets as much extended.



    The VIX is a widely used measure of market risk and is often referred to as the "investor fear gauge". Our own interpretation is highlighted in the chart above. The VIX measures the level of put option activity over a 30-day period. Greater buying of put options (protection) causes the index to rise.

Sure, this is a short review but little happened either way to get traders off their seats.

Thursday brings Jobless Claims, Chicago Fed National Activity Index, PMI Manufacturing Index FLASH, Philly Fed Business Outlook, Existing Home Sales and Kansas City Fed Manufacturing Index.

More importantly, your loyal scribe leaves the turret at dawn Thursday  to the Garden Isle of Kauai. In so doing I’ll miss most of Thursday’s action meaning no Dave’s Daily.

Our extended family there will be celebrating our granddaughter’s first baby luau.

Enjoy your Thursday and we’ll see you again on Friday.

Let’s see what happens.


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Dave Fry is founder and publisher of ETF Digest and has been covering U.S. and global ETFs since 2001.  ETF Digest was named one of the most informative ETF websites in the 10th Annual Global ETF Awards.

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".


ETF Digest™

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


ETF Digest

Market Summary
NYSE Composite Index S&P 500 Index Nasdaq Composite Index Russell 2000 Small Cap Index NYSE Composite Index S&P 500 Index Nasdaq Composite Index Russell 2000 Small Cap Index 10 Year Treasury Note Yield Gold Bugs Index Morgan Stanley High Tech 35 Index Market Chart
Commodity Quote Change Change % NY
Gold1,206.90-0.90-0.07 %05/22
WTI Crude Futr59.820.100.17 % 12:32
Index Quotes Change Change % Local
CRB225.56-2.68-1.17 %05/22
US Dollar96.460.210.22 % 13:00
Index Quotes Change Change % Local
VIX12.130.020.17 % 05/22
MSCI Value Daily MTD YTD
Brazil1702.322-2.43 %-5.45 %-7.10 %
Russia572.3920.37 %1.58 % 41.36 %
India511.1130.82 %4.77 % 2.97 %
China81.8611.68 %-1.73 %23.96 %