Early Look: Stocks Surge Out Of The Gate

Stocks are surging out of the gate. Maybe the market is getting psyched for the new Wall Street movie out tonight, Money Never Sleeps. I know I am.

The durable goods report (ex-transportation) was much stronger than expected, and a new home sales report showed that the supply of homes available is at a multi-decade low.

Also, strong earnings reports from Nike (NKE) and Lennar (LEN) helped boost things. And big hedge fund manager David Tepper made some very bullish comments on stocks.

The dollar is lower again, helping boost commodities. Oil has rallied above $76, while gold has hit new all-time highs above $1300.

Asian markets were mixed overnight. Japan was lower, but China was closed; the 10-year yield is bouncing to 2.60%; and the volatility index (VIX) is -8% lower to 21.91.

Trading comment: Yesterday I mentioned the S&P getting down to initial support levels, where I only did a little buying. But today the SPX is getting a big bounce from those levels, and testing its highs from earlier this week (1148). This will be the fourth straight positive week for the market, which has mostly capped the length of rallies over the last year or so. Plus, the market is still overbought, so maybe we will see more pullbacks next week to do some buying.