Semis Strong Out of the Gate

The market is getting a bounce this morning. Oil is trading just below $60, which weighed on the market yesterday. Bond yields are slightly higher, with the 10-year yield up 2 basis points to 4.71%.

Semis are getting a big boost, and are up +2.1% as a group after Analog Devices (ADI) reported a strong quarter. Brokers are also strong as a group, while biotechs are weak.

The Nasdaq is also being helped by news that AAPL and CSCO have settled their iPhone dispute, and agreed to share some technology. Also, WFMI agreed to buy OATS for an 18% premium, and both stocks are higher.

The market has a good opportunity to sell off hard yesterday, with the bearish inflation report, oil hitting $60, and gold breaking out to new highs. But this market only seems willing to bend, and not break. When will this all change? When people stop collectively looking for a correction every minute of the trading day.