anyone want to opine on commodity action this week? w/ respect to the overall market there is huge potential for major meltdown tomorrow if nothing gets done w/ LEH. but the flip side is BAC and MER may tie up providing some clarification one 1 of the remaining 3 high profile toxic waste entities (WM, AIG). If no LEH deal gets done I think there is a strong possibility the Fed cuts, maybe even 50 bp, which means $ down and commodities up. Also, lots of Ike damage (God be with the victims), could mean increase in steel demand. lots to chew on, any thoughts out there?
I'd bet against a huge drop in commodities, simply because of the beating we've taken for the past two months. Not to say it can't go lower...my 2 cents. If there's a huge drop, I'm buying. I see it as a win win.
I'm hard pressed to see anything positive from here. Banking system looks like one of those fainting goats, no lending, no building. Foreigners think our moneys' funny-with good reason unfortunately-. I'm too close to retirement, you young bucks have at em, it's CD time for this kid.
Tomorrow should be interesting whatever happens. I'm a little uneasy about being low in cash due to using it to buy a chunk of NUE shares at $42 last week. Thankfully that trade has been a gem, but I wouldn't mind taking the profit on it and having some dry powder ready with all the headline producing dramatics going on.
I could see NUE going either way from all this...up on dollar weakness, or down because the entire market goes into panic mode. At least the futures/overseas markets don't seem to be overreacting.