Into the trading week, (May 14- )

After an extremely volatile week, the Eurozone is just as unsettled heading into another week of trading.  Unfortunately this leads to ‘investors’ remaining sidelined, while fast traders go nuts.  Just one look at last week’s daily ranges from peak to trough (~20-25 SP handles) clearly demonstrates the environment.

  

Into the week,

  

Eurozone- Any chance of a surprise positive keeps the shorts from pressing further.  This is keeping a floor to the market. Shorts are pretty fragile and cover quickly.   Finance min. meetings , leader meetings will once again provide continuous headlines to jolt market around.  Spain’s gov’t/ bank plan on Friday was underwhelming. (yields will be focused on)

  

Eco’ data-  first May data points come via Empire/ Phily surveys.  Throw in FOMC minutes release on Wednesday.  Only game changer possibility right now is the NFP# and that’s far away.

  

Earnings-  After CSCO, a tech conference and tech earnings (April end’s) this week will be watched to see if CSCO was company specific.   INTC update late in week improved sentiment on this topic, but all ‘enterprise’ related names were already under substantial pressure (ie.CRM FIIV ..). Big retailers like HD,TGT report to get a feed on April trends in this space.