cuvo

Deflation - it's back. What a difference a week makes.

Gold responds to political and economic instability, not just inflation. Capiche?

Treasurys gained for the second day in a row going into the key FOMC meeting tomorrow, with the 30-year yield -0.09 to 4.43%. 10-year -0.1 to 3.69%. 5-year -0.1 to 2.71%. Currency investors fled to safety of the dollar and yen, with the Euro -0.5% against dollar; pound -0.8%. Yen -0.3%.

...Fled to the safety of the dollar. Wonder how long before that old bromide becomes extinct.

Cam Hui sees in gold a critical test for inflation. Gold has given up premarket gains, settling in flat at $935.

Great surname for this writer.

Boeing (BA -0.9%) tells crowds at the Paris Air Show it has a new competitor for Airbus's A350 - the good old 777. "When your new flagship (that would be the 787) is delayed two years, you have to rely on your current bread-and-butter programs for profits and headlines."

Perhaps they should consider reviving production of the DC-3.

Lawmakers vote today on a 'cash-for-clunkers' bill that would let consumers collect up to $4,500 when they trade-up to new, more fuel-efficient cars. Automakers, unsurprisingly, are in favor of the measure because it will push consumers to showrooms.

Watch parts and service for exisiting vehicles to dry up, forcing people to get with the program.

A technical glitch on the floor of the NYSE has halted trading in 242 stocks. There is about to be, in effect, a new open in these stocks, with orders that were in the works cancelled. Electronic trading was not affected. [[GE]], [[MRK]], [[XOM]] are among the stocks involved in the re-start.

Would they tell you if they knew?

On Jun 12 12:29 PM User 283977 wrote:

> A technical glitch??? Was there a hack, or an attempt to take the
> exchange down? Has this happened before?

Boeing (BA -2.7%) leads Dow decliners after it forecast weaker commercial airplane demand over the coming two decades, citing the global economic downturn, slumping air traffic and volatile fuel prices. Here's Boeing's yearly Current Market Outlook.

lol I was watching that segment and thinking, who on Earth is going to buy these planes, let alone fill them with passengers - or even afford the upkeep.


On Jun 11 03:52 PM Archman Investor wrote:> Hmm. Interesting.
>
> Didn't Cramer call Aerospace the next greatest bull market on his
> show the other night?
>
> Contra-indicator or what?

The 'worst is over' for raw materials demand, says Goldman Sachs, and investors would do well to bet on companies like BHP Billiton (BHP) and Newcrest Mining (NCMGY.PK).

Translation: Caveat emptor.

At midday, stocks are still deep in negative territory. Dow -1.7%. S&P -1.7%. Nasdaq -2.1%.

Do you people watch the USD and the bond market? Nothing 'breaking news'-worthy today?

A group of 400 executives from state-owned and private Chinese firms will arrive in the U.S. and Canada next month, to hunt for cheap distressed assets. The group is expected to look at the auto, petrochemical, energy, metal, media, furniture and consumer goods sectors.

They're just shopping. No mention of buying at today's price.

It might not be the 'irrational exuberance' of the 1990's, but investors are showing an uncanny willingness to be optimistic despite data to the contrary, pushing financial markets well ahead of the real world.

What makes you think it's investors?

"I think this will be a confidence instilling announcement," FDIC's Sheila Bair tells the Senate Banking Committee this morning after being asked if tomorrow's results will "net/net" be a market positive. Some banks will need more capital, she says, but mechanisms have been put in place to do so.

Still don't understand why Insiders continue to sell aggressively into this rally, it just doesn't make sense...

Reports of Bank of America (BAC) needing an additional $34B may not be as frightening as initially assumed, CNBC's Steve Liesman says. According to a report in the NY Times, the $34B cushion required is well below the $45B the bank has already received from the gov't, and "the bank will now start looking at ways of repaying the $11B difference over time." BAC, which was down more than 11%, is now +2.5% premarket.

Suddenly no BAC shares available to short this morning.

Mark Hulbert finds yet more evidence we're in a bear-market rally.

This rally is quite simply too good to be true.
Over and out.

Wall Street Is Seen Emerging From Collapse Much Like Pre-Crisis Industry, so says Bloomberg. “The system will look more like what preceded the current environment than many people seem to believe... I am far from convinced there was something inherently wrong with the system." Wow.

Levels of corruption and fraud should revert and fully recover!