ozcutty2

Market Outlook: Trendless Consolidation Will Give Way to Major Move

The US will not lose its AAA rating. Obama will have already rung Moodys and S&P and said, don't you dare.....

Market Outlook: Trendless Consolidation Will Give Way to Major Move

Good analysis, i too am thinking choppy range bound trading until next results season. Then i feel its up to the banks, if they can pull off some stellar results that could kick start another move higher. Another interesting point is the number of companies thats results rely on a rising market, think insurance companies, asset management, or any company with stock investments. If the market can at least drift up or climb the wall of worry for another month or so, these companies are going to report great mark-to-market gains on their investments which could inturn drive the market higher, i.e. the bull feeds on intelf.

The Euro Bubble

Spot on Joe, I bought US equities in Feb, I could see then that the US dollar was too beaten down. The Eurozone is a mishmash of lots of different economies all tied together, thats why the British weren't keen. Invariably policy is set by the Germans, they don't care if Spain and Portugal are in recession. That will cause problems for the foreseeable future.
Also seems obvious that the US is further into the downward cycle and will recover first. Housing stimulous will have a big effect next year. Here in Australia property has only just started to fall, we're about 2 years behind the US, short the Aussie if you have the cash