Market On Open, Friday 14 June

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Has To Be A Breather Sometime. Right?

by Alex King

Markets have been only-up in recent days, and even on days when most stocks have been down, somehow still indices have been up. Magic! With the good-news CPI and PPI in the rear-view and folks now digesting what Chairman Powell actually said rather than what folks thought they heard, it may be time for some consolidation in markets.

The standout movement at present is the drop in the 10yr yield, which means US government bonds are rising fast. $TLT and/or $TMF have been excellent winners in recent days, as we flagged in Slack Chat earlier today. (For disclosure, I am long TMF personally).

In theory we may expect equities to follow suit, but in truth stocks already roared away to the upside so perhaps it is bonds which are lagging this time.

The other question on my mind is whether the Dow is set to move up - I think it is - here's how $DIA looks to me (again, for disclosure, I am long the Dow via $UDOW). You can open a full page version of this chart, here.

Well, we'd best get ready for the day ahead. Below we run through our usual gamut of charts, from the S&P through the Nasdaq, Dow and Russell 2000, then on to bonds, oil, and semiconductor ETFs.

Read on!

Short- And Medium-Term Market Analysis