ETF Midweek Peek: A Dangerous Market For Everybody

By David Fry (ETF Digest): The market has delivered G-forces of volatility to traders this week despite the VIX remaining relatively low. Triple digit daily reversals on the Dow are fueled by the media on good/bad news out of Europe and hope/rumors of the Fed enacting another QE.

By David Fry (ETF Digest): The French election results were fairly priced-in to markets last week. Sarkozy leaves and the previous "Merkozy Pact" remains in doubt. Greece on the other hand is a mess and another election will most likely be forthcoming. On the plus side German Factory Orders increased 2.2%, well above expectations.

By David Fry (ETF Digest): There wasn't much news Tuesday to ignite a rally, but bulls are still flying with the Fed the wind beneath their wings.

Spanish Bond Yields Back Above 6% Yield on the 10-year Spanish bond is up 22 basis points to 6.06%, having hit a high of 6.08%. It's Not Contagion

Things are going so well in Greece (just one step away from a deal for weeks on end), that Greek officials attack EU and IMF as debt talks stall Greek officials launched a vociferous behind the scenes attack on European Union and International Monetary Fund negotiators as talks in Athens over the country's mounting debts appeared to stall.

By David Fry (ETF Digest): Fed voting member Lockhart was quoted as saying: "It would take more bad news for more QE." The bad news keeps on coming and bulls are anxious for QE since, for many, they're addicted to it. Friday the 13th was a good demonstration for the "bad news bulls" crowd. Most news was terrible.

By David Fry (ETF Digest): There was plenty of talk from the eurozone but nothing concrete came of a hastily arranged G-7 meeting. Nice words were spoken and everyone was, of course, polite. Spain demanded more EU help for their bank bailouts and Germany said they were "open" to a euro-wide banking system.

By David Fry (ETF Digest): Markets were dominated by the Facebook IPO (FB) hype this week, an event that can only be compared to Geraldo Rivera's opening of Al Capone's vault. That's all I'll say about that.