Incredible. Absolutely incredible. In a day that took more turns than a high speed chase, the market rallied in stunning fashion after reports that the government is coming to the rescue once again to help with the bad loans and mortgages that have crippled many financial firms.

There is nothing written in stone, yet, on any solution and the fact that the Fed added over $100 billion in short-term loans late in the day was all the market needed to get back over 11,000. The Dow officially finished Thursday at 11,019. (3.9%)

It’s hard to say what the outcome of all this will be and I’ll update you on the developments over the weekend but for now, the rally was good news for the bulls and even better news for the financial stocks.

The Nasdaq closed at 2,199, up 100 points (4.8%) and the S&P 500 ended at 1,206, up 50 (4.3%). The futures are up strong this morning so we could have another good day.

Rick Rouse
Rick@OptionsMentoring.com

Tags: stock market commentary

This entry was posted on Friday, September 19th, 2008 at 8:09 am and is filed under Market Analysis. You can follow any responses to this entry through the RSS 2.0 feed. You can skip to the end and leave a response. Pinging is currently not allowed.