Ok, stupid pun. But the August crude futures contract (CLU8) is down another $2 today (about 1.6%), and the market indexes don’t seem to care that much. While the NDX(QQQQ) and RUT(IWM) are up about 1%, SPX(SPY) and DJIA(DIA) are only modestly higher. A small rally this morning faded pretty quickly, and we wouldn’t be surprised to make a new low for the week into the close.
Among the key sectors we follow, broker/dealers, banks, and biotech are bringing up the rear - it’s been the case for some time now that rallies don’t go far if they have to drag the financials, and that condition seems to be holding steady. What’s different is the sense in which a selloff in oil is good enough news to spark some buying - that theme may be somewhat played out.