Certainly the drop of 600 points in 4 trading days means the market is entitled to some sort of technical bounce. But there are big headwinds all over the place. Europe which got hit pretty hard yesterday was up earlier but those markets have now turned lower. The GDP figure for Q3 was revised down to 2.0 from 2.5%. The super committee failed which was no surprise. We could go on and on here. Markets are staring into the abyss as all support levels below have been pretty much taken out. So unless we get some market moving headline look for sellers to try to gain the upper hand and fade any rally attempt.
Of course MLP holders continue to enjoy relative comfort as the index closed well off its lows of the day yesterday with a little bit more than a 3 point loss and still above all important support. Legacy Reserves (LGCY) gets an upgrade from Baird this morning to outperform from market perform. Cheniere Energy (LNG) is up a buck in the premarket in active trading as they sign another 20 year LNG deal. Otherwise its a quiet morning on the corporate side.
Stock futures are sinking fast right now after being higher are now lower across the board. Yesterday's intraday lows loom large here. Euro markets have lost their gains and are now lower. The Euro was higher and now it too is heading back to the flatline. Crude is heading back to unchange but nat gas is a few ticks higher on colder weather prospects down the road. MLPS will continue to outperform but at some point if this sell off really starts to get serious, they will be sold. And btw with all the uncertainty in Europe, would you want to be long going into Thanksgiving? Europe is open Thursday while we are shut down. Should be interesting for sure.