Index Close Change
Dow 8781.35 +179.97
S&P 500 951.48 +18.26
Nasdaq Composite 1556.69 +46.60
Nasdaq 100 1172.58 +42.53
Russell 2000 427.61 +9.21
Semiconductor Index (SOX) 365.34 +20.99
Bank Index 822.54 +17.15
Amex Gold Bugs Index 142.29 +0.78
Dow Transports 2416.85 +33.49
Dow Utilities 248.80 +3.90
NYSE advance-decline +1,454 -392
Nikkei 225 8120.24 -107.08
10-year Treasury Bond 3.40% +0.068

Editor's note: This column, which reflects market activity from the day before, originally appeared May 27 on RealMoney.com. To sign up for RealMoney, where you can read Bill Fleckenstein's commentary every day, please click here for a free trial.

While we were on holiday, the world markets saw mixed action, with Asia rallying Sunday night but most markets under pressure last night. The dollar took a beating all weekend long, and then fell as much as 0.5% (to $1.19 dollars per euro) in the early going today before turning green. Conversely, our stock index futures, which were indicating a decline of about 0.5% preopening, marched straight higher as soon as the market opened, such that a couple hours into the day, the Dow and S&P were up 1%, and the Nasdaq was up almost 2%. (Also up, vs. expectations, were the numbers for new-home and existing-home sales, while the consumer confidence reading was slightly less than expected.)

Clues in the Catalyst-Less Sizzle: The early-going action was so strong as to make me pay extra-close attention. One of the things I noticed right off the bat was the 8% moonshot for Micron Technology ( MU), the old flying pig from days of yore, in the space of about an hour's time. The rest of tech was also on fire, led by the party in Internet land. Maybe folks were busy writing the epitaph for this phase of the dollar's decline and figured everything was wonderful, so why not pile into stocks they thought might do well.

I don't know if that's the story they were going with, but I do know that in the past, when tech stocks sizzled like this for no reason, it has often meant that "something is up." Consequently, I covered the tiny amount of shorts I had put on in the previous week. So, those are my real-time thoughts and actions, for what they are worth.

In any case, the market continued to chug higher over the course of the day. From about midday on, the rate of ascension slowed somewhat, but we did go out on the high tick. Folks can check the box scores for the particulars, but suffice to say, it was a day of wild action. The bank stock index was up a couple percent. The biotech stock index was up 5%, though that couldn't quite match the mighty, mighty SOX, which was up nearly 7%. All in all, it was quite a display of bravado on the part of the bulls. Volume was pretty chunky, as well. So, it looks like the path of least resistance continues to be up, as the corrections to the downside seem to inflict little damage.