Fading...

Today the US announced its version of the bank bail out plan, and the bond market re-open after being closed yesterday for Columbus holiday. The stock market open up strongly with the Dow up over 400 points. Thereafter, the market started to fade and during the course of the trading day, the Dow gave back all of the early morning gain plus more. The Dow was down almost 300 points at one point, giving it another 700+ points trading range for the day. Near the close, the Dow once again moved into positive territory, but it couldn't hold the gain and ended closing down around 76 points. Although the up/down volume for the NYSE was fairly even, but for the NASDAQ, it was more like 5 to 1 on the downside. Signs of market weakness are reappearing and won't be surprise to see the market fading toward last Friday's low with some backing and filling.