Investors hoping to extend yesterday’s sharp rally woke up disappointed Tuesday morning with the major indices in negative territory. Dow futures are down 13 points to 13,87. Nasdaq 100 futures are trimming 3 points to 2,774. The S&P 500 futures are rounding out the losses, down 2 points to 1,413.
Bernanke’s comments yesterday regarding his lack of trust in the labor markets continuing their growth helped bolster the rally. This was due to him saying that further stimulus is needed. It was a signal to some that QE3 could be just around the corner.
On the economic data calendar, two important reports are slated to be released this morning. The Case Shiller home price index is due out at 9am EST, while consumer confidence numbers are due out at 10am EST. Both will be watched closely for misses like previous data points over the past couple of weeks.
Commodities are a mixed bag this morning. Nymex crude futures are dipping on economic growth concerns. Oil prices are down 13 cents to $106.90.
The Bernanke speech has been a boon to gold prices. The metal is up $2.40 per ounce to 1,688.00 [Read more...]