{"id":67236,"date":"2024-01-12T00:53:29","date_gmt":"2024-01-12T08:53:29","guid":{"rendered":"https:\/\/drduru.com\/onetwentytwo\/?p=67236"},"modified":"2024-01-12T00:53:29","modified_gmt":"2024-01-12T08:53:29","slug":"stocks-narrowly-avoid-bearish-conditions-the-market-breadth","status":"publish","type":"post","link":"https:\/\/drduru.com\/onetwentytwo\/2024\/01\/12\/stocks-narrowly-avoid-bearish-conditions-the-market-breadth\/","title":{"rendered":"Stocks Narrowly Avoid Bearish Conditions – The Market Breadth"},"content":{"rendered":"\n

Stock Market Commentary<\/strong><\/h2>\n\n\n\n

Last month, the stock market seemed to conclude that the threat of inflation had all but disappeared<\/a>. Given the resulting celebration is one of the key drivers of the current extended overbought rally, today’s report on December’s CPI (Consumer Price Index)<\/a> took on some significance. So when CPI missed “expectations” on the ever so slight hot side, trigger fingers went to work selling. The resulting selling pressure briefly pushed market breadth out of overbought conditions. Buyers helped stocks narrowly avoid bearish conditions by igniting a rebound. The day ended mostly flat, exactly what I would expect for news that had little material meaning.<\/p>\n\n\n\n

According to CNBC, “The consumer price index increased 0.3% in December and 3.4% from a year ago, compared with respective estimates of 0.2% and 3.2%…core CPI also rose 0.3% for the month and 3.9% from a year ago, compared with respective estimates of 0.3% and 3.8%.” Headlines blared across news sites about how inflation came in stronger or hotter than expected. Without confidence bands on these “expectations”, the numbers are just fodder for headlines and trading bots. <\/p>\n\n\n\n

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