US Stocks Saw a Broad Based Rally Monday, Retail Led
$DIA, $SPY, $QQQ, $RUTX, $XRT, $VXX
Investment guru Jim Cramer said he hates how the current market is treating investors by literally mauling anyone who ventures near volatile US stocks.
“I have tremendous contempt for this market, because every time you try to make money with it, it cuts your heart out,” Jim Cramer said in a TV interview.
Mr. Cramer said that he is not using the traditional measures of a correction to make his case.
“Who cares about the S&P? It’s individual stocks that are down 40 or 50%.”
A Bear market is generally defined as an asset or index decline of 18-22% or more from recent highs. The threshold for a correction is measured as a drop of 10% or more from recent highs.
US stocks rebounded Monday after 7 weeks of correcting and testing, as investors bought hammered energy and financial stocks, while retailers gained on robust sales on the biggest online shopping day of the year.
Cyber Monday is expected to tally a record $7.8-B in sales, according to Adobe Analytics, as shoppers flock to online sites for deals during the vast blizzard that is gripping the nation.
The S&P SPDR Retail ETF (XRT) 45.75, +0.87 rose 2.0%.
The S&P 500 tested into correction territory for the 2nd time in the year Friday after it closed 10.2% lower from its record closing high on 20 September and bounced Monday.
High-flying tech stocks have been at the center of the recent selloff, which was triggered by a number of factors including US-China trade dispute, rising US interest rates, signs of global economic slowdown and of course being way over bought this year.
The market was very over-sold last week unusual in that it happened in a Holiday shortened environment, but stocks set up for this bounce Monday.
All indications are that the Holiday shopping sales are robust, as consumer discretionary saw a break Monday over enthusiasm over Black Friday, Cyber Monday.
Monday, the major US stock market indexes finished at: DJIA+354.29 at 24639.14, NAS Comp+142.87 at 7082.06, S&P 500+40.89 at 2673.59
Volume: Trade on the NYSE came in at 854-M/shares exchanged.
- NAS Comp +2.6% YTD
- Dow Jones Industrial Average -0.3% YTD
- S&P 500 Unch YTD
- Russell 2000 -1.9% YTD
HeffX-LTN’s US Major Stock Market Indexes Technical Analysis