Saturday, 3 December 2016

Naturally cooling

US equity indexes closed moderately mixed, sp +0.9pts @ 2191. The two leaders - Trans/R2K, settled +0.1% and u/c respectively. VIX settled +0.4% @ 14.12. Near term outlook threatens further cooling to the sp'2160s - where the 50dma will be lurking. Broadly, the US market appears set for a year end close somewhere around 2230/40.




With the jobs data coming in merely 'somewhat mediocre', the market was in moderate chop mode.. but still clearly leaning a little on the weaker side.

VIX remained broadly subdued, with one of those 'kooky flash prints' in early morning of 12.39, but settling in the low teens.

Right now, there is little reason to change the outlook. Further weakness to test the 50dma in the sp'2160s - with VIX 16/17s... next week, certainly by opex of Dec'16th.

*the weekend post will appear Sat' 12pm EST, and will detail the World monthly indexes.