I am going to be on Fox Business’ Markets Now on Monday August 26 at 1:00pm.
The stock market began a small bounce last week and looks to continue that move this week. Yes, it’s the unofficial last week of summer although many schools have already started and many more begin on the 26th. Volume is typically light this week, but when a geopolitical event occurs like we saw in 2011, 2010, 2008 and 2007, volume will certainly spike. I always laugh when I hear that all of Wall Street is sunning and partying in The Hamptons and that the only people left are junior staffers. Gee, I guess that means they all helicoptered back when it hit the fan. What nonsense!
It’s relatively quiet now because earnings season ended and there are no major PLANNED events until the Fed meets next month to talk taper. Don’t think for a minute that just because August ends this week, volume and volatility will return. We have the Jewish holidays very early this year, just a few days after Labor Day.
While it looks like there is a temporary ceiling over stocks at the recent highs, we could still see a decent bounce on low volume.
Longer-term, the market is still trying to deal with junk bonds entering a bear market and the relative poor performance in the semiconductors.
I “hope” to have a full Street$marts out later this week.
Enjoy the final week of summer!
Paul
