Dennis K. Burke, Inc. Market Updates

Market continues to move higher on Greece Bailout, Gulf Leak

Written by Mark Pszeniczny | May 4, 2010 12:21:00 AM

As news of the leak in the gulf continues to make headlines, Oil markets continued their four day run of solid gains. With construction spending up for in Q1 for the first time in several quarters, many investors can not hold back the urge to jump on the bandwagon. Greece accepted a $148 billion dollar bailout over the weekend dampening fears of their economic situation spreading and airlines are merging, investors may be grasping at indicators to justify their positions. The DOW showed another impressive day, up over 100 points currently. My bearish thoughts suggest that we are up for a reversal, but with only 2 down days in the last 10 days, I have been proven wrong for the last several sessions. But I am sticking with the bound to win theory. With the large spreads between front month and outer months, much of the recent rises can be pinpointed to the spread buyers. At the end of the day, Crude rose .04 to $86.19, RBOB gained .0357 to $2.4351 and HEAT jumped .0294 to $2.3451.