We have a bit of a party going on in common and preferred shares as the producer price index (PPI) comes in soft at up .2% half the .4% expected. Obviously this is very good news, but with the CPI we now have 2 data points—-2. I think we may be heading to just a 1/2% rate hike in December–or even 1/4% if the November data being released just before the December FOMC meeting comes in reasonable.
The S&P500 is up just shy of 2%, while the 10 year treasury is around 3.78%—down 8 basis points.
I will do nothing unusual today – may nibble a bit on an issue or two, but ready cash is minimal so won’t do too much. To do much I would need to rearrange my t-bills etc and I am less than certain that now is the time to go crazy.