For the third day in a row, some late buying helped to cut the intraday losses, but the bears showed a little more aggressiveness today as the opening strength was sold. Even though the dollar was quite weak and unemployment data this morning were better than expected, the bulls couldn't do much with it. That was a bit surprising considering the aggressive dip-buying on Tuesday and Wednesday.
Over the last eight sessions we have battled back and forth and have gone nowhere. The S&P 500 is down 0.1% while the Nasdaq is up and small-caps are down. We have had some big moves on earnings reports, particularly in the technology sector, but it has been fairly narrow, and the follow-through stalled out in some places today.
We have nearly 200 earnings reports hitting tonight and tomorrow morning, so there will be lots of action in individual stocks, but if the broader market doesn't see another surge in momentum soon, the temptation to take profits is going to build.
We have some good earnings hitting after hours. MSFT looks like a solid beat, and it increased guidance. CSTR was well ahead and is trading up big.
Earnings season slows quite a bit after tonight, but we have the election and the Fed on deck. It is going to be a very tricky navigating over the next few days.