Jerry Samet
07-13-2022, 06:39 PM
The market actually held up pretty well considering the inflation report. A higher than expected CPI number caused a big early decline, but the market made up most of the losses by the close. The major averages made it into positive territory but late selling came in and they closed with moderate losses. All the major averages finished high in their intraday trading ranges. The COMPQ and the NDX fell .15% and .14% respectively. The SPX declined .45%. Volume was higher across the board. It was higher by 4.06% and 8.94% on the New York. This produced a distribution day on the New York averages, but the decline in the Nasd averages was to small to qualify as distribution. Leading stocks were generally higher on the day with the leaders index gaining 1.41% on the day. The index closed in the upper half of its trading range on slightly lower volume. The index tagged its 9dma but couldn’t break above it. The CPI report came in higher than expected, but not that much higher than expected. There were significant early losses but much of the early declines were recovered. Considering the level of inflation the day could have been worse. The leaders index tried to get above the declining 9dma that has ruled the chart in recent action but could not do it. The Nasd averages were turned back at their declining 50dma’s while the SPX never got to this important moving average. The PPI comes out tomorrow and we will have to see how that effects the market. Jerry