“I was not expecting that”….the kind of words immortalised by Simon Cowell after an unknown contestant on X Factor comes on and knocks it out of the park!
This market just doesn’t want to top out. It wants to keep marching. As they say, ‘the trend is your friend’ and it continues to be up, but surely it is time the party wound down?
Everything in my “thinking” was telling me that after yesterday’s pause we were going to start to see some sizeable selling today. Therefore, I was as surprised as the dog in the picture!
Helping fuel the rally today was one of the DOW heavyweights…It seems that we are all spending more money on our Visa’s as their earnings caused the DOW Jones to rally ahead of the other major indexes. VISA, a gigantic financial power house, closed up and incredible +10%.
Also, later in the day, the GDP report coming in at 3.5% caused the market to rally even higher. We are closing in on all-time high’s again, and who in their right mind would have thought that possible a week ago?
For those that are still in this incredible trade with me, congratulations, I am genuinely delighted to make a difference. However, for those that missed it, don’t worry, we will catch a few of these every year, this is not a one off and will be repeated.
For now, stay the course, follow the system and YOU WILL WIN!
U.S. stocks jumped on Thursday, with Visa helping lift the Dow industrials into the green for October, after data showed the U.S. economy grew more than expected last quarter.
After a 249-point jump, the Dow Jones Industrial Average was lately up 186.49 points, or 1.1 percent, at 17,160.80, with Visa pacing gains that included 21 of 30 components. The card-payment processor reported a better-than-expected adjusted quarterly profit while projecting mobile payments would increase business.
The S&P 500 rose 7.44 points, or 0.4 percent, to 1,989.74, with utilities and health care pacing sector gains that extended to all but the energy and technology sectors of of its 10 major industry groups.
The Nasdaq rose 2.72 points to 4,552.94.
The Commerce Department said gross domestic product grew at a 3.5 percent annual rate in the third quarter, bolstered by a smaller trade deficit and a rise in defense spending.
Another report had the number of Americans filing for jobless benefits rising last week, but the four-week average fell, illustrating ongoing improvement in the labor market.
Earnings: Exxon Mobil, Chevron, Sony, A-B InBev, AbbVie, Clorox, BNP Paribas, Madison Square Garden, Pinnacle West, Newell Rubbermaid, Rockwell Collins, NextEra Energy, Charter Communications, Legg Mason, CBOE Holdings, Weyerhaeuser, Teco Energy, Dominion
8:30 a.m.: Personal income and spending
8:30 a.m.: Employment cost index
9:45 a.m.: Chicago PMI
9:55 a.m.: Consumer sentiment
News Sources: CNN Money & CNBC