My impression is that Ms. Market is tiring of her current flame & will be rotating soon. Mr. Dow Stock or Stan Poor to be thrown aside as Ms. Market lends her charms to Mr. Nazz or Mr. Rut? Maybe Ms. Market wants to get dirty - are the Four Letter stocks to get the next wave vs. the three letter ones I favor?
The charts suggest that. The Dow & S&P 500 look "extended" [ ugh, I dislike that word ], and the Nazz & rut look like fresh breakouts are setting up. The SOX keeps going up out of a long base.
I figure the energies, miners & Dow+S&P will rest awhile as the Nazz and Rut get action. The beefers need a payday on July 1 and that's how I think they'll try to get one.
I'm not selling my faves as I think they go much higher later. I have some tech for IT trades, but want to stay out of the short term trading game. I'm going to Vegas mid May & don't want to get too involved in the four letter games coming.
You guys & gals out there might get some good action IIFF I'm right.
PS: the core PCE inflation index was 2.2% year over year for Q1 - too high. But we already knew that Jan & Feb & March was too high based on monthly yoy upticks then. The downtick that counts was for April. Besides, the Q1 07 number was the same as the Q4 06 number. So this bears watching, but is not really "news". No action imho.
About Me
- Bunkerman
- I have a pioneer mentality. My wife & I live in the woods - neighbors aren't visible except slightly in winter. Our "bunker" - hehe, really a fine home & barn - has plenty of security. We have four dogs: Krypto (age 9, Kelpie), Ava (age 13, Rat Terrier), Sky (Kelpie, age 5) and Lucky Star (age 1, kelpie). I don't take crap from anyone anymore, having enough resources & gear stocked up to survive in any circumstance. I have three degrees from Harvard including a Ph. D. in a physical science, and an MS in Management from MIT. I worked as an investment banker for about 25 years, mainly in secured finance, at three major Wall Street firms and for the last 17 years with my partners at our own firm. I'm semi-retired now, managing some private corporations and business interests and doing my own trading & investing. This is not to boast, but to give you an idea I know a little about some subjects from experience. The photo is my 1943 M16 half-track which I am restoring. These armored vehicles were ubiquitous in the US Army in World War II and Korea. It's driveable.
6 comments:
piasco hits the tape in 2 minutes with the GDP report
:-)
wow, santelli said stagger lee
here is the pickle. the economy is headed towards recession but can the fed cut rates (after pumping so much money into the system, already. treating the housing blowup like y2k, just add tons of money into the system and assests will rise theory). but with the $ at 81 ish and inflation much higher than stated, they r stuck with the greenspan put.
wow did elmer set it up for ben to fall, imo
I don't see any signs of a recession. The only sector with excess capacity is housing and that's correcting OK without much spillover. By fall, the housing problems will be over. The Fed stopped just in time as I see it. One or two more rate bumps last summer would have caused a recession.
And I see inflation slowly downticking => disinflation.
That's a very bullish environment for stocks. 3% growth, 4.5% long term interest rates, sub 2% core inflation =>> Dow 15,000 or much more.
Sheesh. Why would someone put a $1 million house on 1 lousy acre of land in Bozeman, MT? That's stupid!
Buy 100 acres! Get some privacy.
Dopes.
[per Bubblevision segment ]
Liesman said Monday's core PCE on monthly year over year basis will show a downtick. That's bullish.
I have to run an errand and get a haircut. Have a good weekend.
Peace.
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