Not too much to be expected this week, me thinks. Building Permits and Housing Starts on Tuesday, Crude, Crude Inventories Wednesday, Initial Claims and Leading Indicators on Thursday, and Durable Orders on Friday.
Our big news comes out next week… Existing Home Sales, New Home Sales, Chain Deflator…culminating with the FOMC policy statement. This week may be a bit difficult to trade, possibly treading water will be the order. I do not expect, however, a “buy the news” reaction similar to what was granted after the CPI report. If you do not remember that day (June 15), Naz was up nearly 3%, and the Dow and S&P up over 2%, the day after big gains.
I lend that to nothing more than a classic expiration induced short squeeze. Keep your chips and bet small until we get the statement. Then get ready for the big gulp. We’re going down folks. ‘Nuff Said.
