Hope

Some more “better than expected” data has befallen the market today, and yet again, we have failed to break on through to the other side. Risk assets across the spectrum have gone south since the numbers were released as the bears manage to climb their way out of market’s trap and look to surround the increasingly weary looking bulls.

The news that problem banks rose to 416 in the second quarter came in ahead of the expected 377 and this has served to spook the market somewhat. So for the Nth time, we have a mid afternoon wobble which will no doubt stabilize and rebound straight in the face of anyone who tries to sell it here.

If you think this week was slow, next week promises to be tortoise like. The second quietest week of the year after Christmas week lies ahead for market participants as the UK bank holiday on Monday and the ensuing US Labour day weekend, conspire to make the week only marginally more interesting than watching paint dry.

Still, we live in hope, hope has propelled the market 55% from the lows and if it can do that, then surely it can bring some more activity than usual next week. Hopefully anyway.