Day 26
Situation:
U.S. Markets: Markets closed higher on IBM and SAP earnings, the reopening of Fidelity’s Magellan Fund (which shows faith in the market), rate cut “security” and on short covering in the financials as even the worst possible news seems to be in the prices for now. Newest rumors see between 24 and 30 bln$ write off for Citibank, which will report today.
Asian Markets: Japan down 2% on Yen strenghth as exporters sold off. China down 1%, only Taiwan up on political induced rally.
Commodities/Currencies : Oil gains above 94$, Gold rallies to 912$, Yen strenghthens 107.50 against the $. Euro still at or below 1.49.
Events: US … Results Citibank, Intel US PPI, Retail Sales, Empire Manufacturing, Business Inventories.
Europe … German ZEW, UK CPI, UK RPI
Ideas/Strategy: Waiting for Citibank as it might decide direction for the next days, favoring shortterm upside as downtrend could/should be broken.
supports: 7755/60 … 7740 … 7720 … 7700
resists: 7790 … 7850/15 … 7835 … 7855/60 …7895 … 7925 … 7940/50 … 7980 … 8000/8005 … 8040
Tags: Citibank, daily outlook, Fidelity
