Jerry Samet
02-12-2025, 06:29 PM
Things started off badly today after a higher than expected CPI report. After opening with good sized losses the major averages made a bottom and recovered most of the declines by the close. All the major averages finished high in their intraday trading ranges. The SPX ended with a loss of .27% while the NASD averages showed small gains. The COMPQ and the NDX gained .03% and .12% respectively. Volume was mixed. Higher on the New York and lower on the NASD. This produced a new distribution day on the SPX, but it was mitigated by the strong close. Leading stocks actually had a decent day as they continued to outperform. The leaders index was higher by .52% on the day. The index closed in the upper half of its trading range on higher and above average volume. The market sold off at the open after the CPI report came in higher than expected. After losses at the open the major averages rallied back and recovered most of all of the early declines. This is actually good as a strong close after a weak open is supportive. The SPX closed above its short term moving averages and the COMPQ closed right on its 50dma. The recovery of early losses and the slight gains in the futures at the time of this writing are good, but the major averages remain in the sideways pattern it has been in since late last year. Right now it looks like a whipsaw market where you can take small loss after small loss if you are not careful. It’s a tough market right now and until the market decides which way it is going to go it will likely remain so. The PPI comes out tomorrow. While it is not as important as the CPI, it could cause a stir. Jerry