The U.S. government's growth policies and improving housing, automotive and commercial construction markets will benefit Industrial Stocks. Rise in manufacturing index in August is an added advantage.
The stock market looked like it was going to resume its decline Wednesday but the selling was met with good buying that may have been nervous short covering. The small caps have had an adequate correction in terns of price and time but what does that mean for the other key market averages?
The sharp decline last Thursday was blamed on rumors of another White House resignation but the technical studies had warned of such a drop early in the week. The lack of additional selling on Friday is keeping many complacent but are there really any signs the correction is ending?