This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Short Squeeze on FT Story: Dave's Daily

With stocks down sharply throughout the day a powerful last minute short squeeze was launched after an FT story suggested EU ministers were "looking" at new plans. These plans are "under discussion" but there is "no formal decision". This was enough for an oversold market to rally sharply. One major condition which was much heralded throughout the day was major indexes were in bear market territory. Bulls are desperate to this and would likely latch on to any news that can generate a much needed "stick save".

Apple (AAPL) launched its next iPhone model which was greeted with a yawn. I'm sure it's a great product but hard pressed consumers may not have the money for another gadget when what they have now will do. In fact, after the announcement the stock slid over 5% but it rallied with HFT buy programs (bulls love them now) to close the day only slightly lower.

Everything reversed course from AMR (American Airlines) to Financials (XLF), Industrials (XLI), Emerging Markets (EEM), Europe (IEV), Bonds (TLT) and Commodities (DJP)

For now, color this a Turnaround Tuesday on steroids. The bottom line is will European players must make a real deal that sticks. None has thus far and talk is cheap.

After the close Moody's downgraded Italy's debt three notches to A2 which isn't sitting well with after hours trading. Further Moody's is preparing to downgrade seven Hungarian banks. Maybe these downgrades will stimulate a resolution from the Europeans. The FT editors will have to get busy. The CME is getting busy curiously lowering futures contracts on stock indexes by 23%--now that's the bullish bias at work.

Volume was quite high as the market rebounded from bear market levels. Breadth per the WSJ was positive.

You can follow our pithy comments on twitter and join the conversation with me on facebook.

Continue to U.S. Sector, Stocks & Bond ETFs
1 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
FAA $0.00 0.00%
AAPL $93.74 0.00%
GLD $123.65 0.00%
MS $27.06 0.00%
TLT $129.38 0.00%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs