Closing Brief

The main indexes closed moderately higher, lead by the Transports with a gain of 0.8%. The break into the sp'1660s was yet another painful reminder to the bears of the underlying power in this market. There would now seem little chance of trading <1620 in the near term.


sp'60min

Summary

Another day of new index highs. Again, most impressive was the old leader 'Transports', which broke into the mid 6500s.

Market is due a small pull back, but that is going to be very difficult whilst QE-pomo continues. Friday has a very large pomo of 5bn, so those bears expecting significant downside are simply wasting their time.

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*I am back on the sidelines after a brief foray into Oil this morning. I will look to go long Oil again tomorrow. I'm still guessing the wider commodity group will play catchup this summer.