How can you beat it? Down 300 on Tuesday and up 280 on Wednesday! Pretty impressive as the markets finished on its highs. But short covering may have accounted for that.
Individual stock moves of 5%-30% a day are pretty much the norm. Why buy-n-hold, Baby? Trade ’em!
Nothing really wrong with this almost-day-trading-frenzy but it doesn’t create lasting wealth except for the very nimble. To everyone else these gyrations are a frustration. I am trying not to be everyone else.
Advances clearly led decliners but there were still 68 new lows to 2 new highs.
I couldn’t help myself from diving in with a little State Street, Abbott Labs and Brazil ETF (EWZ), I was bidding for Goldman Sachs and Peru Copper (PCU) but wasn’t filled.
Bank stocks went nuts, especially after Ken Lewis of Bank America disclosed he purchased 200,000 shares of BAC for $1.2 million. Seems to me I remember Jeff Immelt making the same bet with GE at much higher prices. Only I think Immelt bought twice for $5 millon each. A million is probably all Lewis has left. And, remember, Lewis is the genius who bought Countrywide and then held up the Fed for $100 billion guarantee on Meriill’s toxic assets that was somehow overlooked during BAC’s five minute due diligence. So, am I supposed to follow this guy into BAC?
Foreign markets likely to go higher and we could, could get a continuation tomorrow. Lets revisit this brief enthusiasm for equities daily. Should the market be strong early next week then I’m all-in. I gotta get a little back!
Have a wonderful evening. Tonight is poker night and I’m going to kill ’em!
