- As suggested yesterday….unless we got more enthusiasm the rally was going to sputter. At 10am the DOW was 9083 and it now hovers at 8980. Volume remains ho-hum and that makes it difficult to find bids. We need a catalyst.
- Gains have been significant in a short time period.
- Probably a good time to take something off the table. Also a good time to do a little homework. And be ready to pounce.
- Germany initiated a $69 Billion bail out plan yesterday and the news report appeared on page 8 of WSJ!
- Western Union (WU) was raised to outperform by Morgan Keegan. Am wondering how much Mexican remittance business WU does. With the reverse migration of Mexicans going home I figure wire transfers would be down. The shares are up 7%+ on the upgrade.
- Brazil continues to ramp. The Brazilian ETF, EWZ, is up more than 20% in a week. Individual stocks such as PBR and RIO are up even more.
- Added a little more JNK, the junk bond fund.
Disclosure: long PBR, JNK
