Futures are lower this morning and tech could be under pressure as Bank of America downgraded eight microchip companies including Intel. Yesterday Obama warned that to much debt could lead to a double dip recession. Ya think? Could be a little slow on the uptake on that topic.
There are a number of economic releases on Thursday, including weekly jobless claims, leading indicators for October and the November Philadelphia Fed survey. The jobless claims data is due at 8:30 a.m. Eastern and the leading indicators and Philly Fed data is due at 10. Crude is trading under $80.
Keep your eye on this one; the Washington Post reports that TARP will be extended and administration officials are trying to figure out how to announce it in a dismal economy. That should go over well with the additional $250 billion additional stimulus that is being bandied about.
Hey, remember when Wells Fargo was incensed that they were forced to take TARP and cried like a baby? Time for them to pay up or shut up.
Watch financials, I don’t think the sector rotation that’s coming will be kind to the group.
Have a great day.