The market is grasping at straws today with the notion that all is
well that ends well and the Santa Claus Rally is inevitable.
NEVER HAS A DECEMBER STARTED ON SUCH A DISMAL NOTE.
Any nugget of "good news" can still send the market soaring and gold
falling no matter how inlikely or speculative. Today it was weekly
oil supply, but is it a trend? I doubt it. Oil is high because the
dollar is low, and the dollar is low because of major macro-economic
problems, INCLUDING "four more years!"
Also today consumers earned more but they spent in all and then some!
So the market merely seperated out the spending and looked at the
"good news" on rising earnings. Rosie Scenario is back at the wheel!
Even though her drivers license has been suspended since 2000!
THIS ISN'T A RALLY! IT'S A PITIFUL "JOY RIDE" BY THE SLOW LEARNERS ON
THE STREET. Or, maybe the money managers are making a last ditch
effort to churn out a big bonus for this year? Ya suppose?
What today's buyers missed is that the winter rally came early this
year with the re-election of Dubya and the bright prospect of four
more years of looting the American Economy.
Well, maybe.....but China nd Japan are apparently sick of being the
"Enablers" in the picturesque policy of SPEND AND CUT TAXES!
Everyone is sick of it, even Canada chimed in about it during Dubya's
"first state visit" yesterday.
BUT RALLY ON. BUY THE MYTH AND SELL THE NEWS!
IT'S COMING, IT ALWAYS DOES.
