Major averages continued their gains though on lower volume. Leading stocks wended their way higher including LNKD, TSLA, AMZN, GOOG, EBAY, BIIB, and REGN among many others, with some making new highs. In particular, BIIB issued its second pocket pivot buy point in two days and REGN broke out of a double-bottom base formation. Pre-open most leading stocks are looking to extend their gains
Bernanke said that he thought improvement in labor markets was overstating the true health of the job market. This was a clue that the Fed plans to keep quantitative easing on full for potentially longer than expected. This pushed rates lower, and in turn, pushed the dollar lower, sending stocks and bonds higher.
Economic news was weak as the University of Michigan's consumer sentiment survey just barely came in under expectations, and the producer price index showed more inflation than expected. A weak economy increases the length of quantitative easing. Higher inflation decreases the length of quantitative easing. Such mixed economic signals have not been unusual. Overall, the economy at home and abroad appears to be slow to jump start which should keep QE alive and kicking for at least a number of months.
This information is provided by MoKa Investors, LLC DBA Virtue of Selfish Investing (VoSI) is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. VoSI reports are intended to alert VoSI members to technical developments in certain securities that may or may not be actionable, only, and are not intended as recommendations. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to VoSI, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Virtue of Selfish Investing. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2018 MoKa Investors, LLC DBA Virtue of Selfish Investing. All rights reserved.