Stocks Closed Lower On Midterm Results Uncertainty Image: Bigstock Stocks closed lower yesterday. So...apparently the market can't put the midterms behind it just yet. The balance of power in both the House and the Senate are undecided. Nobody expected to get the final results from the Senate on Tuesday or Wednesday. But there was an expectation that the majority in the House would've been decided by then. But so far, that's not the case for either chambers. So the market waits. We all know the markets hate uncertainty. But the uncertainty appears to be here for a little while longer. And that uncertainty weighed on stocks yesterday. In other news, MBA Mortgage Applications were down -0.1% w/w with purchases up 1.3% and refi's down -3.5%. And Wholesale Inventories were up 0.6% m/m vs. views for 0.8%, while last month's report was upwardly revised to 1.4% from 1.3%. Today we'll get Weekly Jobless Claims, and we'll get another look at inflation with the CPI report. Last month, the y/y rate was up 8.2% for the headline number, and 6.6% for the core rate (ex-food & energy). The consensus for this report is 8.0% y/y (headline), and 6.6% for the core rate. That comes out at 8:30 AM ET. And of course, we'll get more earnings. One thing that's not uncertain is the demand for alternative energy. Energy was the top performing sector this year, soaring higher while other stocks fell. And one of the most exciting spaces within that sector, with huge upside potential, is alternative energy. With companies and countries investing billions of dollars (even trillions), in the rush for new and reliable clean, green and renewable energy of all types, it's promising to be one of the most profitable investment spaces for years to come. Because the world isn't trying to figure out how to get off of alternative energy like they are fossil fuels, they're trying to figure out how it can replace fossil fuels and power the future. And the opportunities could be as spectacular as the burgeoning technology sector was many years ago. To learn more about the potential for explosive growth, be sure to read our latest commentary... Power Up Your Portfolio with the Next Breakout Industry Best, Kevin Matras Executive Vice President, Zacks Investment Research |
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