Nasdaq: +57.23… S&P: +16.19…
The Dow notched a fourth consecutive record close Tuesday, even as investors pulled back from some of the most popular post-election trades.
Most important was the action in the Nasdaq today as it popped about 1.4%. A positive continuation in Nasdaq would be a great help to an already bullish tape. Right now, its the only laggard.
In recent days, investors have sold bonds and their stock-market proxies, dividend-paying shares like utilities, while buying up stocks of banks and infrastructure companies.
Today that “reflation” trade slowed down a bit, as some of those beaten down sectors like staples, utilities and gold related items caught a bounce. So you could chalk that rebound action up to a very oversold bounce.
Long-term government bonds extended a post-election selloff on today. The yield on the 10-year U.S. Treasury note rose to 2.240% from 2.224% on Monday and posted its largest six-day yield gain since December 2010.
Lets keep an eye on this one tomorrow. Looks good, and may be ready for some breakout action. See you in the morning.