Thursday Thrust – More Free Money on the Road to 2,000

Don't worry about the fact that the volume is so low we had to check if the market was actually open.  Don't worry about the fact that net $852M flowed OUT of SPY yesterday - even as the index gained another half a point.  Just keep your eye on the prize at 2,000 on the S&P and all will be well.  

China is giving us a boost this morning with positive PMI data but, as I noted to Members this morning, the PMI is just a survey of the OPINIONS of Purchase Managers for what they expect over the next 6 months and it's mainly just a feedback loop of market sentiment.  As Dave Fry observed:

Overseas China stocks rallied on mere speculation the government will promote stimulus measures to boost growth. The government may engage in “monetary easing and support the housing market,” said Benjamin Tam, a fund manager who helps oversee about $1.5 billion at IG Investment Management (Hong Kong) Ltd. “People are still optimistic that the government policies will support growth in China. All of that is positive and that's why the market is moving higher.” This is the speculative chatter driving up shares.

Of course MORE FREE MONEY is always good for the markets and we're not fighting the Global Fed (in fact, Tuesday's $10,000, 1,000% trade idea is right on track with only 22 days to completion) – just trying to temper the enthusiasm – just a little…  

IN PROGRESS