Today's Market
by Dr Invest
Idiotic! At this point, there is NOTHING that makes sense in market behavior. Should Greece leave the EuroTribe, the immediate result to the market would be quick and dramatic.
Still, someone heard scuttlebutt from Bernake's staff that stimulus was eminent. Bernanke only makes promises that if there is a significant downturn, he has a plan. The market has risen signficantly on several occasions over the past two weeks on the rumour of stimulus; likewise, the market has also significantly fallen as well.
So here we are again, SPECULATORS bidding up the market with billions at stake on hopes that Bernake will stimulate the economy once again. The train is going over the bridge with all the signs warning "BRIDGE OUT", yet the engineer responds by adding more throttle. This is Idiotic!
Meanwhile
Greece will get its election. There is a strong possiblity they will have a new Communist PM who promises to do away with the AUSTERITY and reassures the people that they will not be removed from the Euro. He reasons, "There are many countries that want to finish with Greece in the Euro. This doesn't seem like it will turn out well and Germany cannot cover all the bailouts by itself. France, Germany's partner, is resistant to austerity. Their new socalists PM, Hollande, believes that the Euro-economy simply needs to GROW ITS WAY OUT OF THE RECESSION. Of course this only works if you are using Germany's money and France is having their own problems. (Likely, Hollande is the secret ally of Greece and has offered support of keeping Greece as part of the Eurozone without austerity.)
No one knows how this is going to turn out, but I would not have my money in stocks at this time. Today, my investment in TIP and BND rose .45%, one of the highest one day moves since June 1st. This is indicative of agressive buying of Bond Funds in anticipation of a fall in the market. Still, stocks rose .91% indicating an expectation of a return to a strong stock market. It is the day of reconing, this week-end will determine whether billions are made or lost.
Here's my recomendation, STAY OUT OF THE STOCK MARKET RIGHT NOW. Nothing good can come from these volatile market moves both up and then down. The water is frothy and murky and underneath are swift undertows, just stay out of the water. The market will calm down and the water will become clear once again, so be patient.
(note: the above information is for entertainment purposes only and not to be used as investment advice.)
by Dr Invest
Idiotic! At this point, there is NOTHING that makes sense in market behavior. Should Greece leave the EuroTribe, the immediate result to the market would be quick and dramatic.
Still, someone heard scuttlebutt from Bernake's staff that stimulus was eminent. Bernanke only makes promises that if there is a significant downturn, he has a plan. The market has risen signficantly on several occasions over the past two weeks on the rumour of stimulus; likewise, the market has also significantly fallen as well.
So here we are again, SPECULATORS bidding up the market with billions at stake on hopes that Bernake will stimulate the economy once again. The train is going over the bridge with all the signs warning "BRIDGE OUT", yet the engineer responds by adding more throttle. This is Idiotic!
Meanwhile
Greece will get its election. There is a strong possiblity they will have a new Communist PM who promises to do away with the AUSTERITY and reassures the people that they will not be removed from the Euro. He reasons, "There are many countries that want to finish with Greece in the Euro. This doesn't seem like it will turn out well and Germany cannot cover all the bailouts by itself. France, Germany's partner, is resistant to austerity. Their new socalists PM, Hollande, believes that the Euro-economy simply needs to GROW ITS WAY OUT OF THE RECESSION. Of course this only works if you are using Germany's money and France is having their own problems. (Likely, Hollande is the secret ally of Greece and has offered support of keeping Greece as part of the Eurozone without austerity.)
No one knows how this is going to turn out, but I would not have my money in stocks at this time. Today, my investment in TIP and BND rose .45%, one of the highest one day moves since June 1st. This is indicative of agressive buying of Bond Funds in anticipation of a fall in the market. Still, stocks rose .91% indicating an expectation of a return to a strong stock market. It is the day of reconing, this week-end will determine whether billions are made or lost.
Here's my recomendation, STAY OUT OF THE STOCK MARKET RIGHT NOW. Nothing good can come from these volatile market moves both up and then down. The water is frothy and murky and underneath are swift undertows, just stay out of the water. The market will calm down and the water will become clear once again, so be patient.
(note: the above information is for entertainment purposes only and not to be used as investment advice.)
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