Stock Market Analysis
Last week stocks sagged with nearly 1,200 advancing against about 1,700 declining. Volume mostly declined on the pullback, but when stocks tried to rally Friday, volume fell off sharply. New highs were achieved by 367 NYSE issues, only 77 set new lows. Notwithstanding the relative number of new highs, it was, on the surface, a discouraging picture.
Margin debt declined again, and so did customer free credit, both thought of as negatives. Overall, the entire economic picture includes element of weakness as well as strength.