Thursday, April 1, 2010
Stocks are trading higher overnight on the prospects of a global economic recovery following the release of better than expected European and Chinese manufacturing
reports. The rally started overnight in Japan when the Nikkei average rose fueled by the weaker Yen. Talk that Japanese investors will seek better returns in foreign markets helped support the U.S.
equity markets. News that China’s purchasing manager’s index was up more than expected also contributed to the rally.
The inability of U.S. stock markets to fall sharply after Wednesday’s worse than expected ADP jobs data is helping to lead to follow-through buying overnight. Traders
bought early weakness yesterday indicating that the bulls are not ready to give up on this market despite its lofty price levels. The only thing holding back the June E-mini S&P 500 appears to be
the lack of volume and participation by major stock players ahead of Friday’s U.S. Non-Farm Payrolls Report.
The indices are called higher this morning, but traders are not sure whether U.S. investors will chase this market higher. …
