In the face of pretty disturbing economic indicators and corporate pratfalls as well as generally overbought conditions one would expect this correction.
The preannounced revenue and earnings shortfall at Intel is especially troublesome. Chip sales are a leading indicator, their use has become omnipresent. The severity of the most recent Intel forecast foretells gloomy near-term tech results. Today’s report is on top of an already reduced estimate and it smacks of severe, recent, slowing. Intel will miss its already-lowered 4Q targets
Oil is off 10% as it corrects from it 44% move off its lows. We were waiting for all the traders to return from holidays. Now that short covering is completed due to the Gaza war and the Russian/Ukraine flap there doesn’t seem to be a good reason for oil to climb higher.
We are getting a few bids as I type and the trend seems to be higher but not today. We have to work off the fluff a bit.
