“Trade within your ability and risk tolerance. Increase size and frequency when ability and tolerance permits it.” — unknown

1. Dow 30 Trading Range Screen — courtesy of BIG, exactly half of the stocks in the Dow are trading in overbought territory, while just two are oversold — Apple (AAPL) and Microsoft (MSFT). Apple is the most oversold stock in the index at more than two standard deviations below its 50-day moving average.

2. Cruz Suspends Campaign After Trump Wins Indiana — Texas Senator Ted Cruz has cleared the path for Donald Trump to claim the Republican presidential nomination by suspending his campaign following a crushing defeat in the Indiana primary. “From the beginning I’ve said that I would continue on as long as there was a viable path to victory,” Cruz declared. “Tonight I’m sorry to say it appears that path has been foreclosed.” On the Democratic side, Bernie Sanders was declared the Indiana winner, further frustrating rival Hillary Clinton who had hoped to wrap up the nomination at this point.
3. Aeropostale Files For Bankruptcy — struggling teen apparel retailer Aeropostale has filed for Chapter 11, marking the latest high-profile bankruptcy that follows meltdowns at American Apparel, Quiksilver and Sports Authority. According to a court filing, the company listed assets and liabilities in the range of $100M-$500M, and plans to emerge from the Chapter 11 process within the next six months as a standalone enterprise with a smaller store base. The NYSE suspended trading and delisted Aeropostale (NYSE:ARO) shares on April 21.
4. SandRidge Energy In Debt Restructuring Talks With Creditors — SandRidge Energy (NYSE:SD) is in discussions with creditors about reaching a restructuring deal ahead of a possible bankruptcy filing, Reuters reports. The company wants creditors to agree on how the debt would be reduced in the hope that it could limit the amount of time it stays in court if it files for Chapter 11.
5. U.S. Jobs Growth Slows Down in April — companies scaled back hiring in April, adding just 160,000 new jobs versus Wall Street had expected a 203,000 gain. The disappointing employment report is likely to keep the Federal Reserve from raising interest rates anytime soon. The unemployment rate remained flat at 5%, but more people dropped out of the labor force and the so-called participation rate fell for the first time in seven months. That could mean people find it a bit harder to get a job.

The week ahead — Economic data from Econoday.com:

Tags: Job Report

This entry was posted on Monday, May 9th, 2016 at 11:41 am and is filed under Weekly Summary. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.