This is not hard

This is not hard... Markets SURGED higher across the board on Wednesday - so let's see -

First - the Chinese macro data - that had so concerned so many analysts - did not in the end disappoint - GDP, Retail Sales and Industrial Production - all came in - inline or a bit better allowing investors to breathe - Check

(Some do question - can we even believe the Chinese numbers? Well for that matter - Can we even believe anyone's numbers? I mean it is easy to manipulate numbers - so in the end - you gotta go with your gut...what does it feel like to you? I mean - you live here, you work here, you are an analyst of sorts - no?)
Next - Better than expected earnings reports from some tech names - Check

3rd - an short term oversold condition in the mkts and a very oversold condition in some of the 'growth names' which then provided an opportunity to go bargain hunting as the pressure was lifted - Check

Finally - we can all thank Janet Yellen and her Band of Merry Men - she did it again - remaining a bit 'cagey' about what future policy will be- 'footloose and fancy free' as she confirmed in no uncertain terms that the FED would continue to help the economy for ----drum roll please - SOME TIME TO COME.....BOOM, CHECK, CHECK, CHECK!

In her speech to the Economic Club of New York, she reaffirmed the Fed's “continuing commitment” to support the US economic recovery. Reminding the audience and the listener that the Fed’s goals

"would likely require ‘low real interest rates for some time" noting that "there was considerable slack in the labor market and that inflation was well below the 2% target".

And the expected length of time to recovery? It is ‘quite plausible’ that the economy would be back to near full employment and a healthier level of inflation by 2016. 2016? Did she just push out the timeline by one more year?

The mkt LOVED this....with rates to remain near zero - What else is an investor to do? That is a good 2 more years of serving up the Kool Aid....just think - Dow 20K here we come.....! Does it get any better?

So with all these central banks continuing to stimulate then expect the global currency war to continue....and that inflation that she says is non-existent? She should go to the grocery store and buy some food.

Technically speaking - the mkt tested some important supports - the longer term 200 day moving avg's on both the Nasdaq and Russell....(The S&P and Dow have not tested yet - but certainly feels like they wanted to...)

This was an important technical test and the big banks made sure to hold it in place - and yes, technically, the mkt was due to bounce given the recent Acton of late. The good news for now is that the mkt indexes have surged back ..... The bad news is we continue to have an explosive situation in Ukraine, we continue to have crude oil prices rising. What we do know is that as long as oil prices continue to climb in a 'weak economy' - the more pressure it puts on that economy....Prices above $100/barrel will take its toll - and yes winter is over but the summer driving season has just begun.....

Expectations of that coming 'correction' - suggest that we should strap in for the ride. What seems a bit overdone to me is that some are calling for a 30%+ correction.......Think about this - 30%...that would take us back to 1320 on the S&P or June 2012.... 11,620 on the Dow or Dec 2011....Unless the FED and every other central bank goes on strike and walks the picket line - then I just do not see this happening anytime soon. But hey - What do I know?

US futures are -4 this morning....no surprise considering the move yesterday....It is the last day of the week - mkts closed tomorrow - so do not expect any major move - just a bit of digestion....I would expect the range today to be 1848/1870. Eco data today includes - Init Jobless Claims of 315K, Cont Claims of 2.78 mil - those would be good numbers....do not dismiss them....Philly Fed - exp of 10....recall the Empire Survey was a disappointment.

Also - look for more earnings reports - PEP and MS already 'blew the roof off'...so be prepared for more "better than expectation' conversations..... and the world turns....

Butterflied Leg of Lamb

Here is a holiday classic. Although it sounds all fancy - it is easy to prepare and make.....you can dress it up with 3 or 4 different vegetables, rice and a large mixed salad. In my house - we would always start with a pasta dish - and then serve the lamb......Cheese Ravioli with a hearty Bolognese Sauce is always a good starter!

For this dish - you will need: 1 butterflied leg of lamb, sea salt, pepper. For the marinade you will need: Red wine, balsamic vinegar, Worcestershire sauce, garlic, shallots, oregano, and rosemary......

Prepare the marinade: Mix 1 cup of red wine, 1/2 cup of balsamic, about 1 tblsp of Worcestershire sauce, 4 smashed/chopped garlic cloves, 1 minced shallot, oregano and fresh rosemary.....Now the rosemary is up to you....you can put as much as you like.....more or less....your call.

Marinate the lamb overnight....remove from the fridge about 2 hrs before you intend to cook so that it warms up to room temperature....Leaving it in the marinade.

Preheat oven to 475 degrees. Remove the lamb from the marinade and place in a slightly oiled roasting pan. Season with sea salt and pepper. Put in the oven and roast for 10 mins....flip - season the other side with sea salt and pepper and roast for 10 mins. Now - add a bit of the marinade and reduce heat to 325 degrees and cook for an additional 30 mins.....or until a meat thermometer reads 160 degrees.

Remove and cover with tin foil and let rest for 10 mins. Slice thinly on a diagonal - always against the grain. Arrange on a serving platter that you have decorated with fresh Kale. Remember it is all in the presentation.....the meal must be pleasing to the eye as well as the pallet.

Serve with the pan juices on the side. Accompany this meal with roasted red potatoes, either steamed asparagus with hollandaise sauce or French cut green beans that you sautéed in onion and tomato sauce* and some wild grain rice. Always have a large mixed salad dressed with feta cheese, s&p. oregano, lemon juice, olive oil and balsamic vinegar. A nice Barolo works well with this.

Happy holidays -

Buon Appetito.