Where's the motivation to drive stocks higher?. I thought that we could have done better, but there was no real motivation to move things higher or lower.
We made a good recovery off the April lows, but now we may need to move sideways and consolidate. Maybe then that will set us up for the typical November through January advance.
I think tomorrow (the Fed) will do nothing. But the talk now is that they might move toward a tightening bias.
Some late talk was circulating that they would move their bias. We also saw the market rallying strongly into the decision and we sold off on the disappointment. I believe we're more on the way to a soft landing.
I don't see that there's any motivation to move higher. The concerns about interest rates, oil prices and Iraq aren't going away. I think we're going to stay in a volatile range. The best we can hope for is the market to move sideways for a while.
The market is adjusting to the fact that corporate profits may not be as high as was previously thought and that the economic recovery may move at a slower pace than it did in the first quarter.