Monday Morning Musings
The market is getting a very strong boost in the first hour of trading. The lack of any negative news over the weekend, combined with some exciting M&A action this morning is setting the tone.
A potential merger between Barclays (BCS) and ABN Amro (ABN) would create a$150 billion financial behemoth. CYH is also eyeing a takeover of TRI in the hospital space. Also, ServiceMaster (SVM) has agreed to be taken private for $5.5 billion, a +16% premium to Friday's close.
Asian markets were up strongly overnight, and the European markets were higher also.
Bond yields are up slightly, with the 10-year at 4.57%. Oil is flat at $57. Nonetheless, the energy sector is leading the way, up roughly +1.4%. Semis are lagging so far.
Investors may be anticipating some more dovish language from the Fed when they meet this week. The market is still hoping that we will see a rate cut from the Fed this year.
Let's see if this morning's strength can last--