Stocks Higher into Final Hour as Energy Prices Fall and Fed Members Make Dovish Comments

BOTTOM LINE: The Portfolio is higher into the final hour on gains in my Retail longs, Semi longs, Computer longs and Energy-related shorts. I covered some of my (IWM) and (QQQQ) shorts today, thus leaving the Portfolio 75% net long. The tone of the market is slightly positive as the advance/decline line is about even, sector performance is mostly positive and volume is very heavy. Natural gas is trading down $0.48 to $6.79. I expect it to break its recent low of $6.70 in the near future. There is no sign of a substantial pick-up in industrial demand for the commodity, even as prices have plunged 58% from highs. I expect US stocks to trade mixed-to-higher into the close from current levels on lower long-term rates and declining energy prices.