Market Rally Is ‘Fed Driven’ Trader Tells Fox Business Network

Positive earnings from JPMorgan (JPM) and the U.K. holding interest rates at their current levels have helped the U.S. market open higher today.
By Amanda Schiavo ,

NEW YORK (TheStreet) -- U.S. markets opened sharply higher on Thursday morning, following the Bank of England's decision to hold U.K. interest rates at 0.5% and as earnings season kicks off for banks, with JPMorgan (JPM) - Get Report posting better than expected 2016 second quarter financial results.

The stock was up over 2% at the start of trading this morning, helping the Dow Jones to open higher by more than 100 points. The S&P opened higher by 0.6%, as did the NASDAQ.

It is not just the start of earnings season and the monetary policy in the U.K. helping U.S. markets, which have been rallying in recent sessions.

Fox Business Network's Stuart Varney questioned trader Larry Levin of Trading Advantage on his show "Varney & Co." this morning about the main factor driving the market up.

"Two words, Janet Yellen," Levin said from the floor of the NYSE. "It's Fed driven it's going to continue to be Fed driven. She's backed into a corner, said she was going to raise interest rates, isn't able to do it, Stuart and that keeps driving the market higher."

D.R. Barton of investing services website Money Map Press, who was also on the show, and agreed with Levin, adding that central banks are also helping out, noting the Bank of England "probably did a good thing yesterday" in terms of interest rates.

"That makes people think that the central banks might be thinking for once and saying let's save that bullet for a time when we really need it," Barton told Varney.

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