Morning Note

{+++}Goldman is under a little pressure this morning and is taking futures lower. I’m keeping VNO as a short, it stopped by a few pennies yesterday after a 2 point move lower and I am moving stop to 65.50

Here are the morning notes from David Rosenberg:

October 15, 2009


The Dow closed above the 10,000 market for the first time in a year — October 3, 2008 was the last time the Dow was at 10,000. The media are certainly going to town on this news but it is, in fact, old news; it’s “only” the 26th time the Dow has managed to cross this milestone.

Much was made over the Intel “beat” but INTC was up 0.34 cents to $20.83 (1.66%), so that was hardly the lone catalyst.

This still seems to be a purely technically driven market, though excitement continues to build over a company’s ability to surpass low-balled expectations on earnings and revenues. This next up-leg may be the last gasp, but the strength could carry it to the 1,098 gap or the 1,121 50% Fibonacci retracement (that’s 3% more).


U.S. retail sales came in better than expected in September, falling 1.5% MoM versus expectations of a 2.1% MoM decline. Retail “control” sales, which excludes autos, building supplies and gasoline receipts and feeds directly into consumer spending, was also strong, up 0.5% MoM in September on top of the 0.7% increase in August. This brings the Q3 performance to a 1.7% annual rate, which is a big swing from the -2.8% pace in Q2 and implies that we will see a “healthy” consumer when the advance GDP report comes out on October 29. We will see how sustainable this is going into the holiday shopping season.

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