[rohry]

Mr. Jim is pretty upset tonight...

[rohry]

Market WrapUp is delivered...

[Nuke'm Glowing]

"So, Why DID The Markets Rally?"

If you drop a dead chicken from 10, 100 or 1000 feet, it will still bounce. Man is October going to be U-G-L-Y.

[RightWhale]

There were some other financial reports. International paper said they still look okay. The Fed didn't adjust the rate downward. It wasn't bad news, which seems to be good news. So encouraged, there was some buying. Besides that, the recent run down in prices was enough for the time being. The market is always overshooting and correcting. Today was a correction for the overshooting yesterday. Of course the correction will turn out to be an overcorrection, which will have to be counter-corrected tomorrow with another overcorrection. We'll probably still be right here in January, but overcorrecting both upside and downside no matter what.

[j271]

Most company earnings are suffering because of three factors:

1. Restructuring and goodwill impairment charges.

2. Accelerated depreciation charges due to short-lived technology investments.

3. Rising interest costs as a result of added debt.

Do 1 and 2 really matter, since they're non-cash charges? The money's already gone.

IMO, 3 is the one to keep an eye on because it affects cash available for future growth.

Opinions?

[TightSqueeze]

Why did the markets rally?

The simple answer;
Gold Off $3.60 @323.60/Oz

[big bad easter bunny]

After Dasholes silly speech, every body knows the Republicans are going to get the senate back.

[TheLion]

If someone knew what was going to happen to markets, there wouldn't be any. This guy reads great but also has a tremendous financial interest in managing money...he receives big fees for the 200 mil. Maybe as much as $6,000,000 per year. I receive countless e-mails daily from the guru's who proclaim to know. I happen to be balanced in my portfolios. Have made almost as much money in bonds as lost in stocks. The problem in selling now is you lock youself out of a correction and also lock in the loss. Who knows?....like I said at the start.......no one knows!

[LS]

The markets rallied because despite Algore and "Puff's" histrionics, it is now a pretty done deal that we are going after Saddam; and because suddenly the GOP's chances of taking the Senate by MORE than 1 vote look better due to this; and because the long-term price of oil now will drop; and because two sets of major earnings reports came out exactly as predicted.

I also agree that the markets were oversold. Like by about 2,000.

[eastsider]

If you are looking for an exit point and have remained fully invested, these kinds of mini-rallies should be used to get out and invest in defensive bear market investments.

It was a comment from you similar to this one that I credit with having saved me thousands of dollars. Thanks again.

A bear market is what we are now in, and this bear has a long way to go before it will end. The second phase of this bear is going to produce more damage than the first phase.

I heard on the business news this morning (WCBS-AM, New York) that markets were also down prior to the Gulf War, but that they went up when the battle was actually joined. Clearly, the listeners were being asked to induce that a similar downturn is occurring now as rumors of war abound, but that the market will recover when we finally act to oust Saddam. How does this kind of "geopolitical" analysis fit into the Phase II theory?