The dark clouds of yesterday’s market collapse are being replaced by a beautiful Spring morning.  After a severe cold snap we are headed to the mid-60’s with bright sun. For the 650,000 newly jobless in February this morning may not hold the same allure. It …

It Hurts

Everyone is hurting.  Pessimism has replaced opportunism.  Free market democracy is being laughed at by leaders such as Chavez of Venezuela and Evo Morales of Bolivia.  They are gleeful this evening.  And, so far, nothing we have done proves them wrong. We are in serious …

From Barry at Bigpicture.com: Here’s a short list of only the highest quality, bluest of blue chip, penny stocks: AIG (39 cents) Citigroup (98 cents) E*Trade (66 cents) Fannie Mae (39 cents) Freddie (39 cents) Unisys (37 cents) Given the trading volumes, you might think …

OMG

A sucker rally?  Sure looks like it. Citi trading below $1, GM defends itself against its own auditor and its stock down 18%, Wells, Fargo about to have it’s bonds downgraded and perhaps cut the dividend, Google downgraded due to lower ad revenues, no word …

Follow through?

Foreign bourses are crushed as China backs away from yesterday’s euphoria of unending stimulus.  And the report by GM’s auditor that it doubts the company can survive is not helping. But there are seven more days left to China’s economic summit so we are likely …

Tempted?

Notice how much better you feel this evening?  Rallies do that. We were up about 4% at one time today but, as expected, the day trippers took profits. Most of the excitement was caused by rumbling from China that they will do whatever it takes …

It’s a Melt-up!

Sick and tired bulls are taking no prisoners as they bid ’em up. The day began strong and is getting stronger. I put some money to work (GE, AA, XOM, PRGO) and would like desperately to hold on to positions.  But if they get stopped …

Links

Michael Steinhart, one of first, largest and best “hedgies” is turning bullish after correctly going bearish in early January. HEDGEFolios.com The canceled short sale rule has been blamed for taking apart stocks.  Not so fast. Short-Sale Rule Revival Undermined by SEC Data After Bernanke Urges …

While the Dow and S&P are up about 1.20% the market’s internals (advancing vs. declining; volume up vs. volume down) are much stronger.  Gains are melting, however, as early short covering moderates.  To be more constructive we must wait to see if new equity allocations …

Turnaround?

Just when one feels they have Mr Market figured out it makes a an unexpected turn. World markets are up dramatically as a reaction to China, Japan and US stimulus packages. Shanghai advanced 6.1%, Japan up 0.9%, Korea up 3.3%. Despite bleak corporate earnings reports …