Earnings A Mixed Bag So Far

The market was up a bit near the open, despite some higher than expected inflation readings.

There were a handful of companies reporting earnings this morning, and most reported okay results. These included STT, USB, NTRS, and JNJ. The stocks all reacted positively as well, expect for STT which was up for a bit but then fell hard during the conference call.

But the big story today is oil, which continues to surge to new highs. I just saw $4 gas on my way to work. Ugh. It is surprising that oil can continue to make new highs in the face of a weakening economy.

The reasons cited for this morning's spike are terminal closings in Mexico and disruptions in Nigeria. But it still feels like a lot of speculation among traders that continue to proft from new highs in oil. When this trend reverses, I think oil could come back down in a hurry.

Asian markets were up across the board overnight, bucking yesterday's weakness in the U.S. The Yen is also a touch lower today. The 10-year yield is higher at 3.54%. I think yields above 3.50% are a good sign for strength in the economy, and I would like to see yields get over their 50-day at 3.59%.

Tonight after the bell, we will hear from Intel (INTC) and some other semi companies, which should give us more info. about whether the semis have bottomed or not.