Fri July 23 2010 – Weekly Recap & The Week Ahead
Buy when others are despondently selling and sell when others are greedily buying. — Mark Mobius
The major indexes remained trapped between the trading range (S&P500 between 1,060 and 1,100).
1. Europe Banks Stress Test — results will be disclosed after market close 7/23/2010
2. President Obama signed Financial Overhaul Regulations into law
3. Germany Business Sentiment rose sharply in July — improving outlook for Europe ‘s largest economy
4. Ratings agencies S&P, Moody’s and Fitch are refusing to let bond issuers use their ratings — new financial reform laws create too much risk for them; SEC will allow a six-month exemption
5. Obama signed a six-month extension of emergency jobless benefits — restores aid to nearly 3M people whose checks had been cut off since the program expired in early June
6. Hungary shuns IMF, ratings agencies poise to downgrade — Hungary’s prime minister Viktor Orban indicated he won’t renew a safety net with the IMF and will back out of a commitment to cut the budget deficit to EU-prescribed levels next year
Below are the daily charts of the major indexes.
Nasdaq — Daily Chart
Dow Jones — Daily Chart
S&P500 — Daily Chart
The week ahead — earnings season continue:
1. 7/26 — New Home Sales
2. 7/27 — Consumer Confidence; Adv Durable Goods
3. 7/29 — Export Sales
4. 7/20 — GDP Q2; Emp. Cost Index;