Market WrapUp (12-03-03)

Financial Sense Online ^ | 12/3/03 | Mike Hartman

[arete]

Money came out of U.S. Treasuries today as bonds sold-off with the positive economic reports, increasing the yield on the 10-year note to 4.41%. The U.S. dollar also dropped slightly in value again today with a reading of 89.6 on the U.S. Dollar Index with a euro costing $1.21. Today we have weakness in the dollar, weakness in the bond market, and now stocks are trying desperately to remain in positive territory. The simple answer to all of this says we are “not out of the woods” to unbridled economic expansion; the jury is still out.

On the commodities front, grains were up across the board, beef and pork prices came down, energy prices moved higher especially natural gas, which added almost 3% to close at $5.74, crude oil added 30 cents to close at 31.08 per barrel ahead of OPEC’s announcement tomorrow regarding production quotas, and finally, gold and silver remain in a VERY narrow trading range with gold holding just above $400 per ounce and silver holding between $5.40 and $5.50 per ounce. In general I expect further weakness in the dollar which will continue to bolster commodity prices across the board.

And on the natural gas front, it is frosty cold here in Charleston. Now all we need is a big blast of Canadian air to send temp's into the teens in the NE. Yep, that ought to do it.

Richard W.

[imawit]

RICHARD ! ^$#%$#!$%#$*(&*&_)*(&*^%$^%$#!

Next time don’t tell me you’re thinking bout taking some profits. Look what you did to the HUI. Tell me you are or you aren’t !

And where are the NASDAQ weenies ? It gets to a 2yr high and there’s a sell off. Is this just manic irrational exuberance or what ?

Nothing changed, neither the technicals nor fundamentals. So what happened ? Must be a touch of manic irrational no confidence, huh ?

I’m tryin to get to 7 figures and the crew jumps ship. At least the DOW and bullion didn’t abandon.

I’ll give you guys tomorrow and Friday to get it back up !

[arete]

Market WrapUp is Delivered!

Today's Roger Arnold Show

Richard W.

[arete]

Well, I didn't take any profits today although I was within 5 cents of doing so on my MDG. The selling in the miners wasn't all that big. Not much volume and NEM and GG barely moved. Have to wait and see what happens tomorrow and Friday. Expect good employment numbers so there won't be any excuses for the Naz-duck not to break and hold 2000 -- unless retail sales (and this could be a big secret) aren't shaping up so good this shopping season.

Richard W.

[lelio]

Productivity gains are great for keeping a lid on rising consumer prices, but are hurting the employment picture. If companies can continue making more widgets (or servicing more widgets) with fewer employees, productivity will continue to improve.

Missing in this is that if you offshore all of your work you're massively driving up productivity per US employee, versus if you outsourced it to another company in the US (as they would have US workers).

[palmer]

The Naz seemed to be fragged down by loser stocks. Some speculative stocks broke support and some grossly overpriced ones took a hit. Telecomms and cyclicals did well. GM was very amusing, their pension plan stock has benefited from the current rally therefore their stock should be worth 5% more? Talk about circular logic.

[Cedric]

Snap-back rallies in Bear Markets last about one year. This one is, therefore, living on borrowed time. The fundamentals are good but the market action is mediocre-to-bad! Take heed! The technicals underlying this market are horrible. It's been losing momentum since July. Watch-out below! {Although we may have more spasmonic rally attempts before the big slide, the rally which just ended really had the feel of a last gasp attempt.}

[Orangedog]

Was that other thread an hour ago entertaining or what?! I did get a laugh out of the "serbian militia leaders" crack about the mug shots though.

[arete]

Was that other thread an hour ago entertaining or what?!

That is an old thread from March. Always Right pinged me to it to ask me where the depression was that I promised. I thought that it would be fun to revive it.

Richard W.

[dalereed]

"Always Right pinged me to it to ask me where the depression was that I promised"

I wish Greenspan would quit delaying it with his printing press because when his scam finally fails the depression that we are headed for is going to be deeper and longer the longer he delays the onset.

[Orangedog]

I loved the anger-management crowd ranting that "gold is never going back to 800, ever!"

[who knows what evil?]

Expect good employment numbers so there won't be any excuses for the Naz-duck not to break and hold 2000 -- unless retail sales (and this could be a big secret) aren't shaping up so good this shopping season.

Not sure about UPS and other shippers, but FedEx "holiday shipping patterns" are lagging behind schedule this year...not picking up quite as quickly as expected. Hmmmm...

[dalereed]

There was an article in the paper this morning that internet sales last weekend were 30% higher than a year ago. Shipping should also show a large increase, wonder who's playing with the figures?

[dalereed]

The Post Office isn't being swamped, I got an order of cigarettes from New Mexico today that I ordered on Monday which is quicker than usual.

[Soren]

I didn't notice that thread was old when I read it. One thing I did notice was that just about every post where I wasn't thinking "you moron" was by someone who hangs out on the wrapup thread.

[arete]

I wish Greenspan would quit delaying it with his printing press because when his scam finally fails the depression that we are headed for is going to be deeper and longer the longer he delays the onset.

As I have always said -- Greenspan sold out to the political rulers right after he uttered his last honest words, "irrational exuberence". I don't know if Bubba and Rubin threatened him, bought him off, or both, but he has only acted in the interests of the Washington and Wall Street elite ever since.

Beginning in March, Greenspan has been wildly pumping liquidity into the markets and keeping interest rates at historic lows. He could have let the system clear but that was not politically acceptable. Now, he has gone beyond the point of no return. He either inflates, or he dies. It isn't over yet by a long shot which is why PM's could continue doing well.

Richard W.

[dalereed]

"He either inflates, or he dies."

If the foreign holders of our treasuries bail there isn't enough printing presses in the world to keep him alive!

[arete]

I loved the anger-management crowd ranting that "gold is never going back to 800, ever!"

I've never understood why those guys are so angry about gold. It is intriguing. Where did they get such anger about it?

Richard W.

[arete]

If the foreign holders of our treasuries bail there isn't enough printing presses in the world to keep him alive!

Well, all the central planners are on board the same train to hell. Any foreign central banker who breaks ranks better not go for a walk in the park or a plane ride. My guess is that they have already decided to lock hands and if necessary, all walk over the cliff together. They are no different than Greenspan. Corrupted by the new era of one world everything.

Richard W.

[Orangedog]

I'll give them this much, they're consistent.