The market is edging high in a very edgy session as the street, as well as the rest of the country, look to Washington, D.C.  The saga over the Obamacare replacement bill has created, or revealed, a fissure in the Republican Party. 

This drama is not unlike that drama that ushered in Obamacare in the very first place.  Back then, I wondered out loud why so many Democrats were falling on their swords to pass such horrible legislation for President Obama.

The choice many in the GOP must make today is to accept that the bill isn’t perfect and pass it anyway to preserve the strength of the White House, even if it means they feel like promises are broken.  Otherwise, it could spell the eventual demise of their own political careers.

Negotiations continue and more than likely will go into late evening- watch my show tonight for details and critical interviews.

Today’s Session

There are other things going on in this market today beyond Washington, D.C. - all good stuff.  Earnings results from PVH Corp (PVH) is sending that stock higher, enjoying its best session in three years.  Five Below (FIVE) is rocketing higher as well, another sign consumers are spending.

Then, there’s the New Home Sales, which blew away the consensus estimate.

• Overall, new home sales came in +6.1% month to month (consensus was +0.7%) to an annual rate of 592,000. 
• Median Price $296,000
• Average Price $390,400

By the way, headlines are saying the number beat because of unseasonable warm weather, but that’s misleading and lazy work.  It was warm in the northeast last month, but sales were actually clobbered.  

Meanwhile, the Midwest surged, which is perhaps a reflection of renewed spirit and excitement in the heartland.

I’m a buyer on a big dip. I’m a buyer on a big breakout.

Stay Tuned!