Out of Bonds and Into Stocks

Interesting day on Wall Street so far. This morning, we learned that the ISM Non-manufacturing figure for August rose to 56.4.

In other words, you can put those recession plans on hold. For now.

The response is that bonds are falling sharply and stocks are rising. Not all stocks; Defensive stocks aren’t doing much while Cyclicals are up a lot.

The S&P 500 High Beta index is up about 3% while the S&P 500 Low Vol index is flat.

The S&P 500 opened up above its 50-day moving average. It may not be a breakout, but it sure looks like one.

Posted by on September 5th, 2019 at 11:10 am


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