Monday Morning Musings

The market got a small bounce at the open, but has succumbed to more selling pressure in the first hour of trading. This despite some positive news in the chip sector. INTC raised revenue guidance for Q3, citing stronger than expected worldwide demand.

Other than that, not much in the way of news. Notably, there were no big deals announced over the weekend. As for Asia, their markets were lower following the selloff here in the U.S. on Friday. The spike in the Yen also hit markets across the pond.

Bond yields are lower again this morning, with the 10-year yield now down to 4.32%. Oil is also lower this morning, trading near $75.75.

The brokers begin reporting earnings this week, which should alleviate some of the lingering concerns about how bad their quarters are going to look. I wouldn't be surprised to see some of these stocks bounce once earnings are reported and out of the way.

The market is quickly working off its overbought condition, and should be able to bounce. There is a big Jewish holiday mid-week, which could keep trading somewhat thin. I am expecting a choppy week overall.

long INTC