This is beginning to sound like a broken record; new highs once again.
The broad market ended the week with a late-day surge to bring all three major indices to another close at record high levels. Everyone keeps "waiting" for the market to roll over and early yesterday it was looking like some selling might enter the picture. But the buyers stepped in ahead of the long weekend and pushed the market higher as the trading week closed.
The rally continues to be sparked by the news of proposed new economic policies announced by President Trump including a proposed tax cut, although details have yet to be released.
The benchmark index SPX rose 3.94 points to close at 2351.16, an increase of .2% which pushed the index up for the week at +1.5%. Friday's close was just pennies below the previous days record-high close, so it will be interesting to see if investors return from the Holiday weekend with the same bullish sentiment to power it even higher.
SPX 6 month chart
The volatility or "fear" index VIX dropped a bit Friday after creeping up on Thursday. The VIX closed yesterday at 11.49, -.27, down -2%.
VIX 6 month chart:
We do not have any open positions on this weekend, we were given the "gift" of being able to close the RUT March Iron Butterfly yesterday after only 4 days in the trade. So we will relax and enjoy the extra day away from the market, and look forward to seeing what Mr. Market brings for next week.
Next week's economic news is summarized below:
Markets closed; US President's Day Holiday
9:45 am PMI Manufacturing Index
10:00 am Existing Home Sales
2:00 pm FOMC Minutes
8:30 am Jobless Claims
11:00 am EIA Petroleum Status Report
10:00 am New Home Sales
10:00 am Consumer Sentiment
Trade updates will be posted as appropriate.
As always, stay keen on your risk management and trade carefully,