Week In Review: Stocks Rally On More Easy Money
Stocks Rally On More Easy Money
Monday-Wednesday’s Action: Pullback, What Pullback?
Stocks fell on Tuesday after the S&P 500 came within 1 point of 2040 which has been major resistance (formerly support). Shares of IBM ($IBM) and Harley Davidson ($HOG) were two well known stocks that gapped down after reporting weak earnings. Verizon ($VZ) and Travelers ($TRV) gapped up after reporting Q3 results. So far, earnings are a mixed bag and the reaction remains mixed at best. Housing starts rose to 1.206M, beating estimates for 1.147M. Stocks opened higher but closed lower on Wednesday after biotechs and a slew of health care stocks dragged markets lower. Valeant Pharmaceuticals (VRX) was the standout loser after shares plunged 30% on rumors of an Enron-style accounting fraud.