Wall Street, N.Y. Stock ExchangeDon't be surprised if September's remarkable stock market rally cools off this week. As resilient as equities have been recently, they've also shown themselves susceptible to lousy housing headlines and a more downbeat Federal Reserve -- and there could be plenty of both in the days ahead.

Tuesday alone brings new reports on housing starts and permits and the latest policy statement from Federal Reserve Chairman Ben Bernanke. Investors will also be contending with new- and existing-home sales figures, durable goods orders, leading indicators and weekly jobless claims this week.

"My sense is [housing] is going to be weak, and it's going to cause the market to sell off," says Kenny Polcari, managing director at inter-dealer broker ICAP Corporates. "As we saw last week, housing is tough, and it continues to be tough."

There's also the technical matter that after rallying more than 7% this month, a range-bound market is nearing the top of its range, Polcari says, as buyers disappear when the S&P 500 ($INX) bumps up against 1,130. "I think for the moment that's going to be the high."

For more on Polcari's outlook from the floor of the New York Stock Exchange (NYX), see the video below.

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it's time to repeal obamacare !! $1trillion added to the deficit by 2020(CBO)

September 20 2010 at 11:00 AM Report abuse +1 rate up rate down Reply

market is starting to sense that the GOP might take controll of both houses !!!! that's why it trading MUCH better !! obama's done enough damage

September 20 2010 at 10:56 AM Report abuse +1 rate up rate down Reply

Where were you people in the last half of 2008? Do you have amnesia? There seemingly was a financial catastrophe every other day. The market fell to 6,000, and THIS administration has done more harm to the economy than the last one? What about the war in Iraq (which has cost us billions) that we did not have to fight because there were no WMDs or terrorists there other than Saddam, who did most of his damage to his own people. At least he kept Iran in check. The economy, while not good, at least has stabilized in the last two years. Sure unemployment is around 10 percent, but respected economists have said it would be about 16 percent without President Obama's stimulus plan. Increased government spending during an economic crisis has worked before under FDR and Reagan, and it will again if we give it a chance.

September 20 2010 at 10:55 AM Report abuse +1 rate up rate down Reply
1 reply to tdtom7's comment

i dont beleive any of this bull **** ...

September 20 2010 at 10:53 AM Report abuse rate up rate down Reply

America is in trouble. It is time to act. Are we getting the real facts from the media? Have we the people been duped? I once heard a TV newscaster proudly boast, "The news is what we make it." The question is ... Have we been politically blinded? This is an eye-opener. Google this... K Carl Smith... (include spaces), the link is http://vimeo.com/8940481, and watch this video IF YOU DARE. Please cut and paste this on your email list, to all you know, and copy and paste it at all opportunities on news item comments sections. America needs to know the truth -- we are the subjects of the government slave master.

September 20 2010 at 10:12 AM Report abuse rate up rate down Reply


September 20 2010 at 8:10 AM Report abuse +3 rate up rate down Reply

Nothing is really going to change until after the election. If the dems remain in control, the economy will continue to get worse. If we really get the change most Americans are desiring, we will still have a slow pace regarding the recovery. This administration has done more harm to the US than any other in its history so it will take several years to pull ourselves out of this grease pit!

September 20 2010 at 7:58 AM Report abuse +3 rate up rate down Reply