Weekly Market Direction (0801)

The market rallies on the news that the two parties have reached a debt deal. This certainly gives investors a relief that the US will not default on Tuesday. However, before we get too optimistic, we need to understand that we are still facing a weak GDP for the second quarter, a high unemployment. The gold prices have showed us that investors are still a little bit skittish about the economy and the future of the US credit. Today's rally does not necessarily ensure a trend change. My suggestion would be to wait for a trend change and then get in.
Stocks that will perform well include GOOG, APPL, MCD, MOS.