The markets remain strong so far this week despite the lower than normal volume. As the Thanksgiving week starts to thin out investors most of the markets remain at or near new all time highs. The S&P 500 (SPY ) has moved up to set new highs each day of the week so far as the slow and steady uptrend continues. Since election night the SPY has recovered over two months of losses and shows no signs of stopping.
The Dow Jones ETF (DIA ) also popped to new all time highs this week which also coincided with the index breaking the 19,000 mark for the first time. Investors continue to cheer the new possibilities for the markets under the new President-elect, buying up the markets almost every day. Just for the month of November the DIA is up over 5.5%.
The Russell 2000 (IWM ) continues to be the main attraction as it has been screaming higher each and every day. As of Tuesday the IWM is up over 12% almost perfectly in a straight line. The Russell 2000 ETF is currently on a 13 day win streak, showing not even a hint of a pullback.
Bond traders (TLT ) seemed to have perfectly priced in the next rate hike by the Fed. The TLT has been holding steady near its recent lows indicating that traders have agreed on fair value for the ETF given the likelihood of a rate hike this year. For the week so far there is not much to report but for the year the TLT has fallen almost perfectly to its yearly lows.
Lastly, we have home builders (XHB ) which have continued their strong rally off lows. Since setting lows in late October, the XHB has popped over 10% and done so in such a way that has barley grabbed any attention. Volume has been steady on this quick and silent rally that many investors have missed. With all the excitement in Gold, the markets and bonds, home builders have been able to slowly recover almost 2 months of losses just in the last few weeks.