Recap

The markets closed off their lows and the comeback in the NASDAQ and the Qs was impressive. In two words ; Buy Tech. Better yet go long ROM, the ultra long tech ETF or QLD the ultra long Qs ETF. AMZN AAPL RIMM GOOG BIDU were all on fire today. Looking at the strength in tech, I think EBAY is a strong buy here. It seems to be lagging but if money is flowing into tech, it will catch up soon. As far as sectors the internets led the way while retailers and real estate got beaten up. The oils continue to hold up though they peaked around this time last year.

US services growth picked up unexpectedly in May. Another nail in the coffin for those hoping for a rate cut.

The 10-yr bond yield is something to keep an eye out for. It is at its highest point since last August and I suspect a move above 5% could reverse the equity markets.