NetAdvisor™ · @NetAdvisor
9th Aug 2011 from Twitlonger
#stock market summary: #DOW rebounds moving up sharply then -200 to climb over +600 from the lows to close +429.69 at 11,239.77
We’ve have been discussing on twitter and in recent articles on (NetAdvisor.org) that stocks technically have been oversold giving a technical reason to buy.
Massive short covering also contributed to the run where short sellers bought back positions pushing the market higher.
The FED also helped the rally.
The FED intends to keep interest rates low through 2013 (post 2012 election coincidentally) - an implied #QE3.
#Gold climbed sharply +$70 but sold off and closed +$26 on the back of Treasuries selling off and money moving into stocks.
#Silver dropped sharply as amateur speculators who had been buying silver as a cheaper alternative to gold exit this overcrowded trade. The Silver ETF (#SLV) closed down -4.35% on heavy than normal volume.
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