Investor sentiment changed, starting with a negative outlook on Europe. Strikes in France and Greece over the austerity measures kicked off a wave of selling equities overseas. Durable Goods were pretty close to being in line with estimates. Weekly claims were actually better than expected. Earnings and forecasts from a few high-profile Retail stocks, Nike and Bed, Bath, and Beyond, set off some serious selling in the consumer discretionary stocks. If there was one sector that really took the heat, it was the Retailers. The S & P Retail SPDR, XRT, broke its 200-day moving average for the first time since April 2009. Retailers had been one of the surprise leadership groups of the recent bull market. These stocks getting hammered really undermined every attempt at a recovery. Another group that would not let the bulls gain any traction was the Financials. With reform heading into the final stretch, every daily meeting of Congressional negotiators seems to result in a plan that will take another bite out of the profitability of the group. They may have lost the battle, but the war has yet to be fought. Obama’s been pushing for a plan that he can show off at the G-20 this weekend. That doesn’t mean what he has in hand is what will pass next month. Still, it’s hard to get excited about this group until the ink dries and investors know what they are in for. It’s Friday, and we suspect that traders won’t want to go home long. We are oversold again, and volume is still light, but both sides seem tired heading for the finish line, earnings season.