– This week shows that traders are looking for good companies. Companies that missed expectations are getting sold, hard. Sandisk (SNDK) lost 11%, Riverbed (RVBD) fell 29%, and Tempur-Pedic (TPX) shed 20% – just today
– The on-again, off-again relationship with Europe continues. Traders were concerned about Spain’s debt early in the week, sending Spanish 10-year notes to above 6%. One OK auction later, and Spanish 10-year bonds are back below that critical figure and the world is right again
– EUR/USD is set up for a move higher. Finally, the currency pair was able to close above its daily Ichimoku Cloud (1.3190). We would be a buyer at the open Sunday, and expect that prices could move towards the 1.35 level in the near term. Of course, that all depends on the G-20, IMF, and World Bank not screwing things up this weekend. Initial reports of a $430 billion fund boost is a good start
– Elections in France this weekend… with French President Sarkozy expected to lose to the Socialist candidate
Have a good weekend everyone.