So we may get that run to S&P 1500. We're now only 11 points away. If the Fed cut fed funds later in the month does that mean we euphorically go to 1600? Tech carried the day again as the Nasdaq rose 1.3% vs the Dow gain of .68%. Even financials were rousted from their near moribund state today. Clearly, when tech and financials are able to gain a head of steam simultaneously, you can bet the market will rise -- something to watch for in the days to come.
So why would the financials rise? Perhaps the Fed is going throw another bone out, in the form of another discount rate cut. The 1-month euro dollar depost rate has moved to 5.8%, or just above the discount rate amid continued stress in the commercial paper market.
There's going to be more trouble for Mattel tomorrow.
The Heard on the Street Column of the Journal will feature some scary thoughts about Citigroup and its connection to debt conduits. Citigroup owns about 25% of the market for these vehicles and, if they stumble, the bank might have to step in. Read more here (subscription required).