U.S. markets rebounded on Tuesday following Monday’s massive declines which traders say were already in the cards given indicators which pointed to oversold markets. Cuttone & Company’s Keith Bliss said, ‘We think the markets have been vastly oversold. Any of the technical indicators that you look at pointed that out. I actually thought the bounce was going to come yesterday.’ Bliss believes Tuesday’s micro-rally will likely get the S&P 500 back into positive territory for the year. Early Tuesday, Chinese markets tumbled further and Bliss says those declines were likely due to investors fleeing the markets there and taking money out. He said, ‘The U.S. market will still stay focused on China from what’s happening from an economic perspective’ but don’t expect declines in Shanghai to continue in Europe and the United States. Bliss believes market volatility will continue throughout the remainder of 2015 until the Fed makes any interest rate policy changes. TheStreet’s Rhonda Schaffler reports from the New York Stock Exchange.–The Street
