As expected, consumer confidence came it at historic low and squelched the rally.
The tom-toms are beating a massive rally. Not really sure what to make of pundits looking for a big move up. I will pare a few of my inverse ETF’s for the time being.
GE continues to decline and is quickly becoming the poster boy of torpedoed industrial companies. In the face of a better tape GE’s shares are hitting yet another low. Focus has been on GE’s financial side with few looks at the locomotive, nuclear, or appliance divisions. The company still has light bulbs and appliances on the block but no lookers, at the moment.
FAS is a bank stock ETF that goes up at 3x the velocity of the underlying shares. As the bank index goes up a point, FAS goes up three. For the opposite direction you can use FAZ; it goes down 3x as fast. These are not for the faint of heart. They remain a day trading instrument because it is being shown that the price correlations to the underlying stocks deteriorate over time. Trading either can be a helluva rush.
