Financial Reform Bill To Debut Monday

The market is slightly lower this morning, though its already well off its earlier lows. Senator Corker just gave a press conference that a financial reform bill is likely to be unveiled Monday, even though it will not be a bi-partisan effort. It appears Sen. Dodd is under some pressure to get a bill out, even though it may not be ready for primetime. The uncertainty around this issue is likely an overhang on the financial sector today.

Now Pres. Obama is coming on TV to make some comments, and his appearances have never helped push the markets higher.

The dollar is lower today, but it isn't really helping commodity prices all that much. Oil is lower below $82, and gold is roughly flat near $1104.

Asian markets were mixed overnight; the 10-year yield is higher to 3.74%; and the VIX is up slightly to 18.93.

Trading comment: The market has had a very impressive streak of consecutive up days here, so I think a much needed rest is in order. I think any pullback will be shallow, but with the put/call ratios coming in at low levels lately, I would not be surprised to see a 1-2 day selloff in the market. I would use any weakness to add to names that have recently broke out, or those that are just beginning to break out.

IBM looks like it could be poised to play catch up; WFR broke out yesterday; DISCA looks good; and RIMM looks like it can still move higher. Just to name a few.

long DISCA, IBM, RIMM, WFR