Market outlook Oct. 28, 2009: Down

Durable Goods orders for Sept. were up only 1% as reported this morning. This was not encouraging news for those wanting to see a better recovery. Dow Futures as well as the S&P Futures went down on the news. European markets are down this morning and the Nikkei Was also down in overnight trading. It looks like the correction will continue today with the markets in retreat away from the Dow 10,000 level and continue below the S&P 500 level highs of 1,100. I believe when the day is done we will have tested the 9,800 level and gone below it on the Dow. We should also get closer to testing the 1,050 level on the S&P 500.

On another note, Goldman Sachs has reduced its forecast for 3Q GDP growth from 3.0% to 2.7%. This should also help drive the market lower today and for the rest of the week.