Posted on 05/20/2010 10:08:05 AM PDT by EBH
The euro was weak again early Thursday and, predictably, global stocks followed suit. Japan's Nikkei fell 1.5% overnight, major European bourses were down 1.85% to 3% in recent trading, while U.S. proxies were down 2.5% to 3%.
In recent trading, the Dow was below its 200-day moving average of 10,250, while the S&P 500, Dow Transports, Nasdaq and Russell 2000 were each more than 10% below recent highs, or in official "correction" territory.
Traders watch such technical indicators closely, and concerns about moving averages and the like can become self-fulfilling and generate more selling.
At the same time, the selloff has brought out a rash of "crash" predictions in recent days, including from legendary newsletter writer Richard Russell. In addition, Fortune's Sean Tully compares the current environment to 1987 (pre-crash) and says "investors can, at best, expect extremely low returns in the years ahead."
The fact sentiment has seemingly swung so quickly from "pause to refresh" three weeks ago to "end of the world" today is a positive sign from a contrarian perspective. To wit, veteran market watcher Don Hays titled his report yesterday: "Nouriel [Roubini] is Sounding Good Again, and That is Bullish"
Sentiment is hugely important in the short-term and clearly it has turned sharply negative. Longer-term, the market tends to focus on fundamentals but here too, the naysayers are finding their voice, citing:
* -- The possible disintegration of the euro and general chaos in Europe, where policymakers can't seem to get their act together. * -- Potential for a second-half slowdown in the global economy and renewed weakness in U.S. housing. * -- Deflationary pressures in the developed world, and inflationary pressures in emerging markets. * -- Rioting in Athens, Bangkok and other global capitals. * -- Rising tensions between North and South Korea.
(Excerpt) Read more at finance.yahoo.com ...
Ping to 40
You kidding? A decent wordsmith could redo the entire thing. There's SO much material:
Ronald Reagan / Robert Bork
Vince Foster / Marcy Park
Oklahoma bombs-away, cause
Limbaugh has too much to say
That's just off the top of my head, anyone care to add?
If the Fed and the Regime weren’t actively interfering with the NYSE, with their “circuit breakers” and such, the Dow would be in the 4000’s now. Therefore, the Dow is meaningless.
Exactly.
Deutsche Mark is guaranteed to be accepted by Deutsche Bundesbank as valid currency at a fixed rate of exchange to Euro (approx. DM2 to €1).
However, no new DMs are issued or printed by Bundesbank, even as replacement for unusable coins or paper currency.
Tomorrow is options and futures expiry day, so some of the volatility can be attributed to that (using the Euro / PIIGS panic), as well as some hedge funds deleveraging and margin calls.
Same ole, same ole...
All
http://www.freerepublic.com/focus/f-news/2515868/posts
Above link posted by blam Tuesday here on FR, which is entitled,
Dow Theorist: Sell Everything Liquid, You Won’t Recognize America By The End Of The Year
The Business Insider ^ | 5-18-2010 | Joe Weisenthal
Spain is broke. On May 7th credit to Spanish public and private institutions simply dried up, being rejected bonds up to an 18% of interest rate. The media is trying to hide that.
I am literally sick to my stomach just looking at that graph.
FYI, two other threads pertaining to this
http://www.freerepublic.com/focus/f-bloggers/2513956/posts
http://www.freerepublic.com/focus/f-news/2515868/posts
“It is either global insanity or will intent.”
FDR said in politics, if something happens, you can be sure it wasn’t an accident.
We globalize our economy. Then the Greece’s of the world default. The Euro goes bad,, America suffers. It’s a created global economic crisis, designed to create a need for global governance. Just like global warming.
“It is either global insanity or will intent.”
FDR said in politics, if something happens, you can be sure it wasn’t an accident.
We globalize our economy. Then the Greece’s of the world default. The Euro goes bad,, America suffers. It’s a created global economic crisis, designed to create a need for global governance. Just like global warming.
One World Government cannot be acomplished with a strong and soverign United States.
It shouldn't take nearly this much to guarantee a takeover!
See if you can convert Lira to Euro at that coinmill site; I can’t get it to do so.
Somebody, somewhere, is converting Euro to DM...even if only electronically as a way of “keeping track”...
“Uh, no. I welcome a collapse that is blamed squarely on the dems. I want to see 0bamunists suffer—long and hard.”
I agree. The market needs to start reflecting what’s really going on. It’s overvalued and needs to pop.
“I am literally sick to my stomach just looking at that graph.”
I don’t know why this didn’t happen last year. From what I remember, last summer price-to-earnings ratios were 3X WORSE than they were before the 90’s tech bubble.
I’m surprised it lasted this long. As far as I’m concerned and many with good commons sense, the 1000 point drop a few weeks ago was the warning sign.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.