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After yesterday’s mediocre day, stocks got right back on the horse and surged today.But first, the scoreboard:
S&P 500: 8.5
And now, the top stories:
- The scene in Asia was pretty quiet overnight, though China was clearly the big standout. It’s now putting together a huge, multi-day rally despite the same ongoing chatter about the bubble, slowing demand, bank requirements, and whatnot.
- Europe also had a strong up day across the board, with France rebounding nicely despite strike fears. Mainly the day was characterised by a lack of news, which is always god in the eurozone. Recent comments from Bundesbank chief Axel Weber about how the ECB should stop bond buying did little to make anyone nervous.
- The US was up this morning, and the rally basically continued all day (though it moderated in the final hour), as the imagination of investors regarding the potential for big-time QE runs wild. A combination of yesterday’s Fed minutes and a new piece in the WSJ regarding an upcoming Bernanke speech really helped convince folks that the spigots are about to be turned on. Stocks had a big day — especially tech — though not surprisingly precious metals surged much more. Silver is a beast right now.
- On the micro level, the big loser of the day was real estate company The St. Joe, which got whacked after David Einhorn specified why he was shorting them.
- Microsoft and Facebook announced a new partnership.
- And naturally, there was LOTS more chatter about the banks and foreclosure gate. Despite decent earnings from JPMorgan, the major banks credit instruments deteriorated, as noted by ZeroHedge, perhaps due to tail risk of a mega blowup on the foreclosures.