Monday, November 15, 2010

Daily Dow Jones Comment Reviews, 15/11/2010

The Dow Jones closed flat after rising as much as 88 points following bigger-than-expected jump in September inventories and concerns that Europe is on the edge of another bailout. This dented cheer that prevailed most of the day after a 1.2% jump in retail sales (to a 7-month high) and a US$7.6 billion acquisition deal by Caterpillar. Meanwhile, investors remain jittery as they gear up for more economic data due out later this week such as October industrial production (16 November), October housing starts and CPI (November 17), weekly jobless claims and October leading indicators (November 18).

On the other hand, treasuries slid, sending 10-year yields to 2.91%, the highest in three months amid increased criticism of the Federal Reserve’s plan to stimulate growth and concern that a swelling U.S. deficit will lead to higher borrowing costs.

On Wall Street, we reiterate our view that after hitting a two year high, accompanied by the deteriorating technical indicators, the Dow Jones is expected to mire in profit taking consolidation although the inverted hammer could signal potential technical rebound soon. Upside target is situated around 11500-11700 level whilst 11000 should be a strong near term support floor.

Daily Dow Jones ends with the inverted hammer formation signaling possible technical rebound soon.
DowJones15-11-2010

Source: MarketWatch

No comments:

Post a Comment

Related Posts Plugin for WordPress, Blogger...
 
Business