Just heard early that debt will not be need to be a issue till the summer or so. What we're seeing is the LEH CDS collateral called and stocks being sold to cover. The selling might not make it to U.S. open.
The FED just pumped 650 billion into money fund to support redementions in MM + Rates are beeing cut in England and other countrys & in the US maybe .50% cut + Oil broke below 70 & is currently at -2.62 @ 69.38. See ya at the 50s. Dow Fut. -130 there about -150; head fake TD pass is in the air and about to be spiked! IMHO.
Oh Barber...Dow at 3000? If it gets that bad...i'll be clinging to my guns and finding religion. But it won't.
We are still the most powerful, productive and resourceful nation on earth. And most importantly...we know it. We have too many resources on a planet of almost 7 billion to see our public sector values drop 80% from their highs. Even a 50% drop is hard to imagine.
While I see a further downward trend...I am encouraged by the lower resistance we are seeing this week. We may not have found the bottom...but I sense it's near. Corporate earnings are trickling in and even companies reporting worse than expected results are be rewarded for still being alive. That's a good sign.
With the housing numbers and steep consumer confidence drop, the market probably should be down to flat, but also it's oversold and pent up demand from cash heavy bottom nibblers will take it up. The market's not going to move lower or but a bottom in today, but will take months, maybe a year, who knows. I have shorts in commercial real estate I'm holding. The fact is unemployement is rising, consumers are spending less, and businesses are going to earn less. A lot of that's priced already. What's not priced in is the severity.
In a bull market you buy the dips, in a bear market sell the rallies. Today will probably progress with this false optimism because it just "feels right," a good pop up or two next week will set us up for the next round of crises, bankruptcies, and worse than expected economic shocks.