David Fry's Daily Market Outlook

We wish to announce the completion of our second podcast interview with the Emerging Markets Monitor. No registration is required -- so just listen, learn and hopefully you’ll profit from the experience. Given the extensive nature of the subject, the interview is over 40 minutes in duration. These folks are quite good at assessing fundamental market data and developments from countries within Eastern Europe, Africa, India, China and Latin America to name just a few regions. Given that these markets are the hottest on the planet, you'll be well-served by the content since it provides more understanding as to why the area is so robust.

Meanwhile, back in the congress, Fed Chairman Bernanke chatted with a less friendly crowd led by Barney Frank. Nothing much changed by the end of the day either there or in the markets frankly.

But let’s look at the few sectors that are under everyone’s microscope.

There are two stories floating about regarding oil. One is that oil prices could drop to $30, which seems “now” unlikely. The other is that oil prices are going to go much higher for the usual reasons, and of course this is intuitively the more likely.

Oil prices should have no direct link to gold prices. Gold usually trades off economic data, monetary policy and the value of the dollar. Now if oil prices were to fall to $30 from this level, would gold prices follow it lower? This is an interesting speculation since “some” oil producing countries may need to sell gold to cover their expenses. Then again, petrodollar recirculation to U.S. bonds and dollars would be negatively affected one would think. All this thinking is giving me a headache, which is why I’m only too happy to continue trading technically.

We can promote things just like other more louder prominent members of the financial news media.

Okay, that’s enough for one week of commentary. Nowadays 40 minutes is a lot to ask of anyone, but if you’re interested in learning more about emerging markets you owe it to yourself to listen to our special podcast interview with Emerging Markets Monitor.

Have a pleasant weekend.

Disclaimer: Among other issues, the ETF Digest maintains positions in: streetTRACKS KBW Capital Markets (KCE), streetTRACKS Gold Trust ETF (GLD), iShares Silver Trust (SLV), DBP, S&P 500 Index (SPY), Rydex S&P Equal Weight (RSP), MidCap SPDRs ETF (MDY), iShares Russell 2000 Index ETF (IWM), NASDAQ 100 Trust Shares ETF (QQQQ), iShares Goldman Sachs Networking (IGN), First Trust DJ Internet Index ETF (FDN), PowerShares Zacks Micro Cap (PZI), PowerShares Aerospace & Defense (PPA), PowerShares Water Resources ETF (PHO), iShares MSCI Japan Index ETF (EWJ), iShares S&P Latin America 40 Index (ILF), INP, iShares MSCI Australia Index (EWA) and EWM.