Views From The Hill

Views From the Hill: August-14-2014

Stock Market Commentary

Regarding economic data, the Jobless Claims report, while slightly higher, continues to show signs of improvement. Inflation also remains benign as Import-Export Prices are relatively flat on a monthly basis and barely increasing year-over-year. European GDP reports from France and Germany, the region’s two largest economies indicate unresolved economic weakness, but the market interpreted this data as a sign of prolonged accommodation from the European Central Bank (ECB).

Technically, strength begets strength and such is the case with this market as the SP-500 now boasts @ 54% of its components trading above the 20-day M.A. vs. 27% last week. The scenario for the 50-day M.A. is similar with @ 45% trading above this key moving average vs. merely 33% last week. The breadth of stocks trading above longer term moving averages, such as the 100-day or 200-day, has not changed drastically as the primary trend for stocks has suffered little damage during the recent correction.

 

Daily Performance Summary

Index LAST Net Chg % Chg
S&P 500 Index 1955.18 +8.46 +0.43%
Nasdaq Composite 4453.00 +18.87 +0.43%
Nasdaq 100 3969.11 +19.91 +0.50%
Russell 2000 1143.34 +1.56 +0.14%
CBOE Volatility Index 12.42 -0.48 -3.72%
10-Year Treasury Note 2.40 -0.01 -0.41%
US Dollar Index (Sept-2014) 81.57 -0.03 -0.04%
Gold (Dec-2014) 1315.70 +1.20 +0.09%
Crude Oil (Sept-2014) 95.58 -2.01 -2.06%
U.S. Real Estate Index 285.34 +0.15 +0.05%
U.S. Home Construction Index 461.87 +9.12 +2.01%

 

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