May 12th 2014 – Dow and S&P 500 close at records

Market View:

Well, my call of a new all-time high in the S&P 500 was fairly immediate!  Great day to be long the market.  Tomorrow should be a little flat after such a big pop, but technically today’s daily candle of the S&P 500 could be called a thrust after a completed triangle.  So, further upside could come this week, the Nasdaq stocks may be the catalysts as they continue to recover from such a disappointing 8 weeks of downtrends and choppy trading.

Market News:

U.S. stocks rose on Monday, lifting the S&P 500 and the Dow to record finishes, as technology shares surged and M&A activity helped brighten Wall Street’s view of the economy.

Internet and biotechnology shares battered last week bounced back on Monday, with Twitter, Yahoo and Facebook among those rallying. TripAdvisor, Netflix and Biogen Idec were among the top gainers on the S&P 500.

With 90 percent of first-quarter results reported by S&P 500 companies, 69.2 percent have beaten earnings estimates, and 52.9 percent have reported revenue above analyst expectations, according to Thomson Reuters

China’s government said in a Friday statement it would ease foreign-investment caps in listed companies and hike quotas for capital flows.

And, developments in Ukraine had pro-Russian rebels voting to secede in some eastern parts of the nation. The referendum has been dismissed as illegal by Kiev and Western governments.

Tuesday:

Earnings: Surgical Care Affiliates, Abercrombie and Fitch, Take Two Interactive, EnCana, Fossil, URS

7:30 a.m.: NFIB survey

8:30 a.m.: Retail sales

8:30 a.m.: Import prices

10:00 a.m.: Business inventories

10:30 a.m.: Richmond Fed President Jeffrey Lacker

News Sources:  CNBC and CNN Money