Economic data is seeming to improve but not necessarily at a pace needed to bring down unemployment and pull housing out of the slump. The corporate earnings, consumer spending, consumer sentiment from Umich and Retail sales are all improving. But the European sovereign debt problem is looming large over all these reports. US export sector that is dependent on global markets is still not convinced of the global recovery.
Technically speaking, the US equity indexes are leading the global markets higher. And bond markets are receiving favorable treatment as indicated by lower yields.
US dollar is gaining momentum after Italy's and is headed to test resistance at 80. As a result Gold is faltering though long term trend favors gold. Short term support for gold is at 1750 and longer term support should be at 1600. Crude oil is testing resistance at $100.
Last week's (week over week) market Sectors Returns and Internals: