Finally, Some Good News
Following
a fortnight of disheartening news in the wake of the worst attack
ever on the US, the market finally got an indication that the economy may not be
in as dire straits as many have feared. The market is also on track to close on
its highs of the week, a positive sign for the bulls.
Coming in
stronger-than-expected, the National Association of Purchasing
Management-Chicago manufacturing rose this month to 46.6 from 43.5 last
month, suggesting the economy may not be in as bad of shape as many have
suspected. The regional report also suggests that the national NAPM, slated
for release Monday, could come in stronger than expected.
The Dow is up
146 at 8828, the Nasdaq is up 30.79 at 1491.50, and the S&P 500 is up
17.86 at 1036.37.
Economic
observers are keenly watching the nation’s sentiment because of its
potentially huge impact on a host of economic decisions made by consumers.
Finding the silver lining, traders are viewing today’s University of
Michigan consumer sentiment index in a positive light. For although it fell
to an eight-year low, many had expected it would come in even lower,
particularly in the final two weeks of September. But Americans appear more
upbeat than worst-case scenarios forecast, boding well for consumer spending
and a quicker rebound in economic activity.
The
sectors are all flashing green with oil services
(
OSX |
Quote |
Chart |
News |
PowerRating), +6.25%, airlines
(
XAL |
Quote |
Chart |
News |
PowerRating) +5.80%, securities broker/dealers
(
XBD |
Quote |
Chart |
News |
PowerRating) +4.77%, and transports
(
TRX |
Quote |
Chart |
News |
PowerRating), +4.68%, leading the way.
No
sector is down more than 1%.
On
TradersWire Interactive’s Insights From the War Room, we pointed out Johnson
Controls
(
JCI |
Quote |
Chart |
News |
PowerRating) when it was up 2.90 at 64.90 and moving out of a Slim
Jim. JCI has since rallied to a high of 66.50, out of the formation.
And in the
strongest sector, oil services, TradersWire caught Baker Hughes
(
BHI |
Quote |
Chart |
News |
PowerRating)
before it popped out of an upper-level consolidation and added $1.