Monday Morning Musings

The market is getting a nice bounce this morning, after Friday's positive technical action, when the S&P recouped all of its losses by the closing bell. It also helps that Asian markets were higher across the board overnight, as central banks continued to add liquidity to the system.

The Bank of Japan added $5.0 billion, while the ECB pumped in another $65B and declared that the markets are normalizing.

Also, the hedge funds sponsored by Goldman Sachs (GS) that were rumored to be liquidating are not. GS said that the funds are down significantly, but that the company and some outside investors are committing more money to the funds to take advantage of what they believe are dislocations in the market.

Oil is trading higher this morning, near $73, and bond yields are steady with the 10-year yield hovering around 4.81%.

It is nice to see the brokers leading on the upside. But it is still very early in the day.

long GS