The market is barely out of the starting gate today, and is mostly meandering, as investors play the waiting game.
- Waiting the jobs report
- Waiting for Congress to get its act together
- Waiting for final earnings releases to come through
Talk about heavy lifting, the Communication Services sector is trying to single handily lift the entire S&P 500. CenturyLink (CTL) is the top gainer, but Facebook (FB) and Google (GOOG/L) are putting the oomph in the sector.
S&P 500 Index
Communication Services XLC
Consumer Discretionary XLY
Consumer Staples XLP
Health Care XLV
Real Estate XLRE
- Advancers 1,349
- Decliners 1,574
- Advancers 1,262
- Decliners 1,956
Economy in Motion
Kansas City Southern (KSU) is having a great session as it continues to bubble up in the takeover rumor mill. I think an offer is plausible, but it has been in and out of takeover speculation for 15 years.
Historically, transportation has been a great harbinger of where the economy is going. The DJT has been trading above its 50-day moving average and is breaking out through a key resistance point. Obviously, airline stocks have been a drag. But truckers and rails, including Kansas City Southern, are powering along strongly.
American Airlines (AAL) is nearing its 50-day moving average in part to a growing sense the White House and GOP are pressing for more help for the industry.