by Thomas J Smith CFA
Stocks began the day with a large spike higher at the open. Buyers came in and added to the rally in the first hour of trading. The rest of the day was spent hovering near session highs. The Bernanke Put now has a companion in the Draghi Put. Comments from Mario Draghi that the European Central Bank planned to buy bonds of troubled sovereign nations that ask for help sparked the buying frenzy.
Futures pointed to a higher open as European markets were strong ahead of the European Central Bank press conference. Central Bank President Mario Draghi presented a bond buying plan that is essentially in line with expectations. U.S. employment data was also stronger than expected.