Stock Market Commentary for Friday, August 12, 2005

The market rise on Thursday was just the kind of dead-cat bounce short-covering rally that should be expected after (or during) a correction.  NASDAQ rose a moderately sharp 16.74 points, but barely recovered the loss from Wednesday.

People can't seem to make up their minds whether high oil prices are a big deal or not.

The economic data continues to be mixed.

We didn't have a net inflows into domestic equity mutual funds last week, which is not a good sign, but could simply be a fluctuation rather than a true trend reversal.

NASDAQ trading volume was very light (1.62 billion shares), and breadth was moderately positive, with 1.75 gainers for each loser.  This was not a strong rally.

Click here to read the entire column.

-- Jack Krupansky