EB Daily Market Report - Wednesday, March 12, 2025

Dear Members.

A brief update today.

The bulls are finally seeing some relief on the heels of a less than expected inflationary CPI report this morning with all of the major indexes higher.

To be clear, all of the major indexes remain challenged as they remain below all key technical levels. But at least the tech heavy NASDAQ has put in a higher low today, maybe one sign that the worst of the recent selling is over.

The VIX has settled down some today after closing in on 30 just two days ago. It remains elevated so we should continue to respect the fact that traders remain fearful with one finger on the sell button "just in case."

Tomorrow morning we'll get the February PPI reading which will be watched closely. Should it mirror today's CPI report. i.e., better than expected results, we might see some additional buying.

Obviously it has been tough for the market to hold gains into the close so we'll want to see what develops when today's session is over. 5528 has now become support and to the upside we could see some resistance just above 5700.

Bottomline? Today's action is positive but things can change on a dime. A strong finish could indicate the heavy selling is over. But if we see profit taking into the close then all bets are off.

At your service,

John Hopkins