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Markets Are Up, Down, And All Around: April 22, 2012

Published 04/20/2012, 02:07 AM
Updated 07/09/2023, 06:31 AM

On Friday, the S&P 500 Index e-mini futures were up, down, and all around ahead of the opening bell. Earlier in the day, Spain auctioned off €2.54 billion in 10-year debt. The Spanish stock market traded lower by 1.26 percent. As you all know by now, if there are no buyers for the bonds the central banks will buy the securities. The only way to gauge the markets these days is to simply follow the U.S. Dollar Index futures.

When the U.S. dollar declines the stock markets will inflate and trade higher. The opposite is true when the U.S. dollar rallies, markets will deflate and trade lower. All traders should remember that the U.S. dollar often has a tendency to fall after the opening bell rings at the New York Stock Exchange.

Tomorrow is options expiration, therefore, we should continue to see volatile markets into the end of the week. This a time when the large financial institutions will play a lot of games with many of the popular stocks. Some stocks that see the most game playing by the institutions are Green Mountain Coffee Roasters Inc. (NASDAQ:GMCR), First Solar, Inc. (NASDAQ:FSLR), Netflix, Inc.(NASDAQ:NFLX), and Baidu.com, Inc. (ADR) (NASDAQ:BIDU).

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