*The buy-the-dip impulse still seems to be missing.<\/p>\n\n\n\n
*Market participants have become more discerning in their review of earnings results.<\/p>\n\n\n\n
*The Russell 3000 Growth Index is down 2.7% for the week. <\/p>\n\n\n\n
The mega-cap stocks and growth stocks have had a tough time this week. Those tough times don’t appear ready to end just yet. There will be some carryover, at least at today’s open.<\/p>\n\n\n\n
Currently, the S&P 500 futures are down 20 points and are trading 0.3% below fair value, the Nasdaq 100 futures are down 122 points and are trading 0.5% below fair value, and the Dow Jones Industrial Average futures are down 97 points and are trading 0.2% below fair value.<\/p>\n\n\n\n
Those aren’t material losses that are indicated, yet they reflect a lack of buying interest that, itself, has kept many participants sidelined, recognizing that there has been a tempering of the buy-the-dip impulse.<\/p>\n\n\n\n
That impulse could reappear at any time, of course, but participants look content to let the price action be their guide, and it is currently guiding prices lower.<\/p>\n\n\n\n
There hasn’t been much macro news to push things along today. China reported some underwhelming import and export data for October; meanwhile, the government shutdown is becoming a real travel nuisance as it contributes to flight cancellations across the country.<\/p>\n\n\n\n
The storyline ahead of today’s open, however, is really about earnings and how the market has not been in a rewarding mood. Sure, there have been some big winners after their earnings results, but there have also been some really big losers.<\/p>\n\n\n\n