June 16, 2010
U.S. Equity Markets Pare Gains Ahead of Economic Reports
Global stock markets took a break overnight after a huge run-up in the U.S. markets on Tuesday. Investors pared positions ahead of Wednesday’s producer price, housing
starts and industrial production reports.
On Tuesday, U.S. equity markets soared, fueled by the belief that the financial problems in the Euro Zone and the slow-down in the global economy may be diminishing.
Investors want to see if today’s reports indicate the U.S. is still on the path to recovery before committing additional funds to the rally.
The main trend in the September E-mini S&P 500 turned up on Tuesday on the move through the last main top at 1102.75. In addition, the market closed over a 50% level
at 1101.25, indicating that the market is likely to continue to move higher toward a resistance cluster at 1117.50 to 1122.00.
The overnight trade indicates that the S&P 500 is likely to open near the old tops at 1102.75. The five-day rally from …
