Yesterday was spectacular for investors. I assume everyone made money–lots of money.
I think the market melt up yesterday was more than a little overreaction to the minimally improved inflation numbers–once again way too much money out there on the sidelines and folks just couldn’t resist piling in because ‘the top in inflation is in’–well maybe.
On the other hand gains in almost everything is a refreshing pause in the non stop drubbing investors had been taking and folks should take the opportunity to rearrange portfolios if necessary. I have very little cash available for investment right now so can’t do much buying, but in general my course is locked in – whether the markets are up or down I will nibble where I see opportunity (assuming I have cash)- I am not smart enough to call bottoms or tops.
S&P500 futures are up mildly today – 1/2%. Where it finishes no one knows. The bond markets are closed today so we won’t see if the 3.81% 10 year yield holds–and it will exert no influence on equities.
Today we have just the University of Michigan consumer confidence index and inflation expectations number being released at 9 a.m. (central) which should be no influence on markets.