Trust Issues

Good morning. After dropping very near the August close lows in S&P 500 yesterday, premarket futures are showing some cautious optimism.

News that Abu Dhabi Investment Authority is investing $7.5 billion in Citigroup (C) has helped even though clearly the bulls have major trust issues with this market. Overseas markets are mixed with commodities again under pressure this morning.

Premarket gainers: ATVI, PHM, SPLS, VNDA, KMP, SPWR, SCON, BBND, BPHX, MA, RIG, DKS, ANSS, MON, RTLX, FCEL, BOOM, TASR, ESRX, CSIQ, JRJC, XING, ACGY, CREE, GOLD, TBSI, UAUA, BOOM, BCSI, and MICC.

Premarket losers: ABB, BIDZ, IRIS, BARE, NVLS, NOV, and QGEN.

After the opening bell, market direction will depend on the consumer confidence report at 10:AM along with Fedspeak from Plosser at 12:20PM and Evans at 1:30PM. Expectations are low for these market movers, so any good news on any front will be welcomed. If they can't build on a positive start this morning and we see a failure at 1400 in the S&P 500, the March lows come back into play at 1375. I suspect that the bulls will do what they can to hold and bounce from these levels plus or minus 15 points in the S&P 500. We shall soon see.

Right now the market market needs a sign (any sign) that things will improve and that the pessimism that reigns now is unjustified.