S&P 500 Hits New High As Jobs Data Slightly Below Estimates
The market rallied in early trading, pushing the S&PO 500 to a new high for the year. The overall news flow is slow today, and the dollar isn't giving its usual boost.
In economic news, the ADP Employment Report showed that 169,000 private payrolls were shed in November. This is better than last month's figure, but below expectations of 150k. Friday's govt. payroll report is the more important release, and current estimates are for -123,000 jobs lost.
The dollar is slightly higher this morning, which is weighing on oil and commodity prices. But the love affair with gold continues, such that the yellow metal is bucking the weakness, and hit new highs above $1215 earlier this morning.
Gold is looking very toppy, as the chart has gone parabolic recently. Its too hard to predict when it will turn, but something will happen to cause a sharp correction, and shake out some of the newly minted gold bugs.
The 10-year yield is higher to 3.30%, and the VIX is down another -1.5% to 21.60.
Trading comment: The Nasdaq is the more oversold of the major indexes, and I've been picking at some of my favorite names there. Also, healthcare has really started to pickup lately, and many of the big-cap favs have been forming bases for many, many years. As such, if they continue to break out from these bases, it could signal a move that has legs. I have not made any major allocation to the space yet, but it is definitely on my radar.