After 2 days of flat action that has favored the bears, the bulls are trying to regain the momentum following some good housing numbers this morning. Futures were up 0.5% last night and stayed positive up until the open which was bullish and could lead to some more buying in the afternoon as fund managers play catch up.
We mentioned in our Weekly Wrap that many of the suit-and-ties spent the last couple of weeks in August on vacation and were hoping there would be a market pullback in September. That was 4% ago and there might not be a dip until the end of the month.
August Existing Home Sales were up nearly 8% to 4.8 million which was much better than forecasts for an increase of 2%. This was super good news which bodes well for other upcoming housing reports.
Earning for Thursday include: CarMax (KMX, $31.97, up $0.61), Cintas (CTAS, $41.14, down $0.34), ConAgra Foods (CAG, $25.70, up $0.06), Jefferies Group (JEF, $15.46, down $0.25) and Oracle (ORCL, $32.87, down $0.15).
As we head to press, the Dow is up 46 points to 13,611 while the S&P 500 is higher by 4 points to 1,463. The Nasdaq is showing a gain of 5 points to 3,182.
We will be back in the morning with our next update but for now, let’s go check on our current trades which are showing some nice pops today.