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August 16, 2006

Footsie showing the way, Wed., Aug. 16, 2006, 9:20 AM

Whenever there is well-hyped U.S. data that is released in the pre-opening hours in North America, sometimes you can get a handle on how the day will go by watching the FTSE 100 of London, which is five hours ahead.

Today the Footsie jumped at the 8:30 am ET release of a lot of U.S. econ data. So too did the German DAX and other important bourses in Europe. Don't ask me why; I just follow the bouncing ball.

This morning the FTSE 100 had been well underwater until 8:30 am ET (1:30 pm GMT, which is London time). Then the rocket lifted off, taking this important index back to yesterday's closing level. Now we have to watch closely, going into the NY opening.

Sometimes, if I have time, I'll look closely at the FTSE sub-indices as well, just to take note of what's hot and what's not at that moment. Word spreads, you know. The pond is no longer a big one.

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Posted by Posted by Bill Cara on August 16, 2006 09:19:53 AM | Category: Cara Today in the Market

Discourse

I, too, have found the foreign markets to be a useful indicator of the direction of the U.S. stock market for the day.

Indeed, the world is growing smaller....

Posted by: GemmaStar [TypeKey Profile Page] at August 16, 2006 10:11 AM [link]

The Bonds also rallied at 8:30 am in Chicago,no inflation is good for the equities also(an alternative to the FTSE and DAX)Sometimes we missed the odvious clues in our own back yard!

Bond Trader
Palm Beach,FL.

Posted by: Silversea [TypeKey Profile Page] at August 16, 2006 4:21 PM [link]