Investors showed caution after a surprise drop in existing home sales, a surprise rise in GDP growth and AIG’s worse-than-expected quarterly decline. If we don’t see some improvement in the economic indicators, stocks are most likely going to keep moving sideways. Monday, the Commerce Department releases its January personal income and spending reports before the start of trading. Construction spending, due out after the start of trading.

Advancing Sectors: Financials (+0.7%), Industrials (+0.4%), Consumer Discretionary (+0.2%), Energy (+0.2%), Telecom (+0.2%), Health Care (+0.1%), Tech (+0.1%)
Declining Sectors: Utilities (-0.7%), Consumer Staples (-0.5%)
FEAR METER: The QQQQ implied volatility dropped to the record 17.19 level.