France and Austria are both expected to have their AAA ratings cut Friday by Standard & Poor's, sending shock waves through the global financial markets.
Market needs to know European leaders, especially Germany, want to head off a meltdown that would creat global recession. That said, big rally possible.
Threats that 15 eurozone nations, including Germany and France, as well as the EFSF could have their credit downgraded by S&P led to a tepid day of trading.
An auction of German 10-year Treasury Bonds failed to sell nearly 40 percent of available notes, prompting fears that Germany's typically stable status could be in jeopardy.
An auction of German 10-year Treasury Bonds failed to sell nearly 40 percent of available notes, prompting fears that Germany's typically stable status could be in jeopardy.
Look for a correction today to DJIA 12,400 (S&P 500: 1284). Watch for buyers on this dip as confirmtion of the market's strength in the first six days of January.
Greek Prime Minister Lucas Papademos is negotiating with other Greek politicians to accept a draft deal that could restructure Greek debt and stave off default.
Resistance to today's rally starts at DJIA 12,100 (S&P 500: 1247). Another decline to DJIA 11,735 (S&P 500: 1210) by Friday possible as market seeks comfort level.