Tomorrow morning at 830AM, the Unemployment Report for November will be released. Today around 3PM (one hours before the market closes) the professional traders decided it was time to 'short' stocks because they are expecting very bad news tomorrow morning concerning unemployment. Within sixty minutes, the market was down 200 points and looked horrible. This was an example of selling in anticipation of the news. When the news is released, the market will go up unless the report is worse than expected. I think that we are in store for a pretty good Christmas rally in the market next week. This feeling arises from the fact that the market is starting to go up on 'bad news'. This means that all of the bad financial reports are already discounted. We will see, but it is definitely a good time to be looking to buy.....
Random thoughts.....It is apparent that our Federal Reserve and the Central Banks of most foreign countries are trying everything, including the 'kitchen sink theory' to liquefy the economies of the world. Interest rates are falling to zero as Corporate Bonds continue to be on sale.....the stores are jammed in NYC...sales are working...
Posts
1 comment:
...and your opinion on INDIA? There's a cover story in the new BusinessWeek. That India Fund (IFN) sure has gotten hit...even before the Mumbai terrorist attacks. Not pretty when you look outside the US...is it? :(
Post a Comment