Today was filled with lackluster trading throughout the day. Stocks opened up on the weak side but showed signs of life from the open up until around 2:00 p.m. All the sudden it looked as if the buyers ran out of steam and the market steadily came off the highs to settle in negative territory for the DOW down -36.88 (.34%) to close at 10,748.26 and down -3.94 (.34%) for the S&P 500. The NASDAQ stayed in positive territory at 2,375.31 up +.64 (.03%). I believe that the market is taking a breather and there may still be some worries about the outlook on Europe as Gold was up $10.90 on the day. Gold tends to go up when people are worried about the equity market. It's considered a safe place to keep your money in times of uncertainty.
(http://finance.yahoo.com/) figures taken from yahoo finance.
My outlook is still cautious, but today showed signs that the stock market may be stabilizing. All the big movers from yesterday such as Tech, Energy, and Financials took a step back. I personally believe that these particular sectors will outperform in 2010. My money is on Energy at this current moment as the rig count continues to increase in North America and crude oil is holding on even though the past couple of days hasn't shown great strength. The oil spill from BP has had a negative impact on the Energy sector and once they clean up the mess I think crude oil is heading higher. So I say continue to buy stock on weakness and never buy all at once!
Thank You,
Clay-
If this was beneficial information or you would like to comment please do. I would like to hear what you have to say. Feedback Welcome!
Clay, Great stuff... a lot of good information! Let us know your thoughts on the so called "penny stocks" With the market going to way it is going is it advisable to venture that way? or stick to the bigger stocks?
ReplyDeleteJohn,
ReplyDeleteI will have a response for you later this week on penny stocks! There are positives and negatives to investing in penny stocks.
Thank You,
Clay-