Another Up Monday

Happiness reigns again on Wall Street, at least for now. The averages are modestly higher although we’re still below the Iron Curtain of 1130. I’m not a big fan of technical analysis but I do concede that markets often seem to act with undue deference towards “resistance points.” That’s happening again as the S&P 500 has tried and repeatedly failed to stay over 1130 for very long. But if this is going to be our fourth straight week of gains, then we’re off to a good start.
The big news this week will be tomorrow’s Fed meeting. I don’t expect any change in rates—meaning, if we had something like interest rates. However, I’ll be curious if there’s any real change in the Fed’s policy statement.
The other news item that I’ll be watching closely is the earnings report from Bed Bath & Beyond (BBBY). This is due to come on Wednesday. Here’s my latest take on BBBY’s earnings report.
Finally, here’s a look at the S&P 500 along with the earnings:
image986.png
The implication is that the market is cheap IF the earnings scenario holds. The future earnings projections isn’t from me — that’s Wall Street’s consensus via S&P.

Posted by on September 20th, 2010 at 10:02 am


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