1:45pm (EST)

Following last week’s explosive rally, we said this morning that today could be a flat as the second half fireworks will come in the back half of the week.  Earnings were a nonfactor before the bell and economic news was so-so with May Factory Orders coming in at 0.8% after a 0.9% decline in the prior month.  Despite the strong rebound, it was still less than expected as the suit-and-ties penciled in a 1.0% pop.

The news did help drag the major indexes out of the red and into the green but the market remains mixed as we get into the second half of trading.  The bulls are being held back after Moody’s (MCO, $38.65, down $0.36) felt like it had to remind the world that some of the banks that took on Greece’s debt may have to take impairment charges on the original bonds.

On Monday, Standard & Poor’s decided not to take the day off to celebrate the 4th and said the financing options described in a proposal from France would likely amount to a default.  We said the Greece news should be in the rearview mirror this morning but obviously the Debbie Downers are siding with the bears.

In any event, the market has held up well and seems to be stabilizing so we could get a last-hour power rally as the bulls look to extend their winning streak to 6-straight. 

As we head to press, the Dow is down 2 points 12,581 while the S&P is down a point to 1,338.  Tech has actually looked good today with the Nasdaq showing a 10 point pop and is at 2,826.  Subscribers, check the Members Area for the current trade updates.