Despite no deal to raise the U.S. debt limit, the market has held up rather well as the bulls continue to dig themselves out of the hole Washington put them in this morning. We had an uneasy feeling over the weekend that a deal wouldn’t get done, especially after Senator John Boehner left the President “at the altar” on Friday, and again Sunday night when he said the two sides were still deadlocked.
Futures were down 1% before the overseas markets starting trading and the talking heads were calling for a “selloff” at the crack of dawn. However, futures started to improve, somewhat, and the support levels we charted for you this morning have held like glue.
There is no economic news scheduled for today but earnings will be in focus after the bell. Among some of the names we will be watching include: Broadcom (BRCM, $34.82, down $0.65), Netflix (NFLX, $284.22, up $7.64), Quality Systems (QSII, $90.25, down $0.54) and Seattle Genetics (SGEN, $17.84, down $0.07).
As we head to press, the Dow is down 30 points to 12,650 while the S&P is lower by 3 points to 1,342. The Nasdaq is off by 2 points to 2,857. Subscribers, check the Members Area for the updates.