Yesterday was another session that seemed doomed out of the gate, certainly after an early bounce fizzled, as would be buyers stepped back. There wasn’t panic, but there is mounting frustration.

There was nowhere to run and nowhere to hide outside of low vol.

Fear Gauge

The VIX (fear gauge) moved higher.

Fear In Individual Names

There is extremely heightened fear when it comes to individual names in the market. These kinds of readings are considered contrarian indicators – in other words, good news.

It's a sign that nobody is taking the rally for granted.

The Inflation Question

I don’t think the CPI report will influence the FOMC decision next week. Monthly core came in better than expected.

This morning, the monthly core PPI came in at 0.4 versus the consensus of 0.5. On a year-to-year basis, core PPI came in at 4.9; the street was looking for 5.4. The Fed is not going to hike rates next week, and I am still in the camp that says the next move from the FOMC will be a rate cut.

Oracle’s Grand Ambitions

Shares of Oracle (ORCL) are down on news that the company plans to raise $40.0 billion (half from debt and half from equity).

The other development is a $638 billion backlog (+363%). This is huge but not reflected in the share price.

Watching the Chips

There is no doubt the semiconductor (SOX) story is not in the final chapters, even though ardent bulls think there could be more to the current pullback.

I think the semis will turn soon and resume their upside march.

Today’s Session

Retail investors are getting very spooked. I get the anxiety, but those who have been opportunistic over the last several years have reaped monumental returns.

Most Intriguing Headline

I get the sense the market and Americans would like to see the Iran Conflict over sooner, even if it means a step up in military actions.

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