Saturday, August 19, 2006

Impressive Week

The market ended the week impressively.

The NASDAQ Composite Index (ticker : $COMPQ) surged 106.24 points, or 5.16%, to end at 2,163.95.

The S&P 500 index ($SPX) added 35.56 points, or 2.81%, to close the week at 1,302.30.

Meanwhile, the Dow Jones Industrial Average ($INDU) ended the week up 293.44 points, or 2.65%, finishing at 11,381.47.

This despite that the preliminary consumer sentiment index fell to 78.7 in Aug 2006 released by the University of Michigan on 18 Aug 2006. Wall Street had expected the index to slide to 83.8. The greater-than-expected drop was viewed as a signal that the economy might weaken too much.

Options traders should monitor the market sentiment closely next week to see whether the rally would carry on.