Two Ways: Make Way for More Stimulus?
Strengthen your portfolio in good times and bad.
There's growing talk that another economic stimulus package is in the works, especially after Vice President Joe Biden said over the weekend that the current administration "misread how bad the economy was."
According to The Wall Street Journal, some economists are echoing the sentiment that a second round of stimulus spending is needed quickly as unemployment nears 10%. But the appetite for spending in Congress might be decreasing, particularly at time of record deficits. Officials also say they want more time for the first $787 billion package to work given that just 10% is out the door so far. For more on last week's job numbers, see Professor Jack Lavery's A Closer Look At Payroll, Jobless Claims Data.
From the Bull Pen: One major consensus everyone seems to have is that consumer spending power is tapped out. But if you think the market has already priced in much of the gloom, then some retail stocks could provide some upside opportunity. Amazon (AMZN) into $70 support is an option, if and when.
From the Bear Cave: Still, the retail ETF (RTH) making a new low isn't so encouraging. Bears playing the downside can set a buy stop above Thursday's high, near $77.
Quick Check Around the World
Asian trading closed with the Hang Seng -1.23%, India -5.83%, Shanghai 1.18%, Nikkei -1.38%, and Taiwan -0.23%.
Glancing towards Europe, we see the FTSE -1.21%, CAC -1.65%, DAX -1.63%,
As of 8:05 AM EST, S&P Futures are trading -7.50 to 885.80 and Nasdaq futures are -10 to 1435.00.
A Look at Commodities
Over in commodities, crude oil is trading -3.04 to 63.69 while gold is -8.50 at 922.50 this morning. Silver is -0.378 to 13.03 and copper -8.85 to 220.15.
The dollar index is +0.3.90 to 81.0550.
On the Radar
10:00 ISM Services 46.0 cons
Click here for the full trading radar.
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