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Weekly Market Review 201217
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Weekly Market Review 201217# Stock
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Market quickly reversed off the low after making a bullish technical turn
early this week, where the S&P finished up over 20pts and the Dow closed
higher by 200pts. The Treasury curve came down slightly along with poor GDP
result (2.2% vs. 2.7% est.) and consumer confidence (69.2 vs. 70 est.) this
past week. Despite the fact that major domestic economic data continued to
worsen on recent releases, equities kept on moving higher in coincidence
with the bearish fundamentals becoming more questionable for the health of
this economy. Nonfarm payroll will be the main focus for the fixed income
side next week as initial claims strengthen for the 10th consecutive weeks (
388k vs. 389k est.).
Technical Highlights:
• Stocks breaking its short-term downtrend led commodities price to
trade higher.
• Equity benchmarks reversed back above their 50days moving average
signal for another bullish run.
• Healthcare RSMC is signaling a major turn in the market as its
sensitivity index is falling sharply.
• Defensive stocks underperformed the market as the major trend
reverse; However, historical returns remain bearish for the offensive stocks
forward looking.
• Bonds stayed directionless after the uncertain FOMC statement, yield
continued to trend lower from the technical point of view.
read more at...
http://plus.alpbeta.com/report/201217.pdf
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