Mid-Day Thoughts

Greetings from 11 Wall,

1)  You will almost certainly pass someone on the way home tonight, who is either hungry, cold, or in some kind of obvious distress.  Try, without putting yourself in a dangerous position, to be compassionate when the opportunity arises.  We’re all people.
.
2)  The S&P 500 level to watch remains 1915, as it was yesterday, when it survived three severe tests.  Today, the level acted as early resistance, and has evolved into an old-fashioned pivot point as traders keep some powder dry for the high volume options expiration close that we’ll see today.
.
2a) Should there be a break away from that level, you’ll have 1908, and 1901 to the down, and 1925 to the up.
.
3)  So far,today’s winners are Gold, the Tech sector (witness the out-performance of the NASDAQ Composite), and some Financials.  Your losers are Crude, Energy, and the Materials sector.
4)  Some quiet flattening of the yield curve going on.  Mild selling being seen in the 2 year, and the 5 year, while the 30 year goes green.  10 year flat.
.
5)  Did you read my note this morning?…and then see Core CPI show up at 2.2% y/y ??  This is not rampant inflation, but it is supportive of eventual tightening of monetary policy.
.
Sarge out.