*Derivatives strategists at MKM Partners found that in periods in which volatility remained high for several months, stocks underperformed. During similar periods in 2002 and 2010, the S&P 500 was range-bound and choppy and did not set a long-term floor until the VIX dropped below the 25 threshold. It closed on Friday at 42.96, the highest in six weeks.*
Once Greece declares the BK and Europe either breaks up or floods with newly minted Euros to buy half of the troubled debt we will have a window to buy. It took about three months for TARP to be announced and a bottom.....These are extreme times.
Some talking head at Bloomberk said he likes PBR with VIX above 40...went down from 25 to 21.80..
More news of Dilma wanting interest rate cuts which will hit the Real hit PBR earnings, send PBR lower. PBR down 2% in Bovespa today plus Real off .5%
Perhaps going long SPX on a dip for a quick trade? Buy SLV on dips, what else? BP? CVX?