Scalper1 News
Major averages rallied yesterday on mixed volume as central banks indicated a dovish stance on interest rates. On Friday, Federal Reserve Chairwoman Janet Yellen said that while gradual hikes are likely this year, the central bank will move cautiously, meaning if the economy does not pick up sufficiently, it could mean another year of no tightening. Meanwhile, China’s central bank acknowledged their flagging economy so the PBOC governor said he saw âmore roomâ for China to ease policy if the economy stays soft and inflation continues to weaken. This sent Chinese stocks to a seven-year high. In US markets, both the S&P 500 and DJIA closed above their respective 50-day moving averages. That said, the S&P 500 was up on lower volume and there remains an overhang of distribution days, so we are not out of the woods just yet, and a resumption of the downside still remains a possibility as the bounce remains suspect. Futures are down sharply this morning as the market takes on a game show-like character of “Guess the Gap.” Construction products company Trex Company (TREX) – Earnings accelerating, ROE 37.8%, institutional sponsorship rose last 5 quarters, group rank 15. Scalper1 News
Scalper1 News