Nasdaq: +26.01… S&P: +6.50.
Energy companies led gains as oil prices rose.
Expectations that underwhelming economic data would push the Federal Reserve to delay raising interest rates also drove action in the markets after data showed slowing in the service sector.
The September rate hike seems to be all but off the table as utilities and telecom rose today. Conversely, financials (a beneficiary of higher rates) fell as a rate hike looks to get delayed.
The 10 year treasury also dropped in yield by about 3.3% to a yield of 1.54. The greenback also took it on the nose and was down over 1%.
So the takeaway for now is no rate hike, good for stocks, metals, energy, utilities, telecom and staples. Not so good for the financials. Although the latter is holding in well considering.
Crude oil reversed initial morning losses & closed at session highs after headlines citing Iran’s President as being in support of measures to support an oil price recovery. BUT…… the Saudi Arabian oil minister has stated that he does not see the need for production freeze at current price levels.
Bottom line…..these guys will continue to lie, cheat and steal from each other until the cows come home. You cant believe any of them. The only group more heinous then OPEC is probably the FED, and maybe the UN. Incompetent charlatans that lie like rugs.
But I digress. Today I added a few longs. ERII was mentioned in the video last night and today it broke out of that pattern that I talked about.
I also added old name PBYI which was a great success just a couple of weeks ago. I still can see high 60’s.
U.S.Steel ( X )jumped out at me intraday, so I added it. The stock has a nice falling wedge pattern and it has retraced almost 30% from its early August highs.
See you in the morning.