AndrewBaker

Wall Street Breakfast: Must-Know News

It's unlikely CIT will be allowed to fail now as it would do far too much damage to very fragile sentiment. We're getting more small bank closures, and hearing more about non-performing loans little by little. They're out there, they've not been accounted for yet, and we all know that until these bad debts have been fully factored in, we won't have a recovery; so perhaps the hope is that by slow disclosure the full effect won't be as big as otherwise, and that in the meantime other good news can keep sentiment up. That's what we have now: a market moved by sentiment as much as or even more than by hard fact and numbers.

Wall Street Breakfast: Must-Know News

Google Chrome and other browsers, incuding Firefox, are rapidly upping performance to make remote computing as fast as on your PC: with a new operating system being developed and on-line applications such as Google docs, "cloud computing" is becoming more of a reality, and must be causing Microsoft concern as it will blow away their desktop monopoly.

Look at the companies in this area, because they are the techs that will lead any market rally in due course (though not just yet, as we're still a long way from recovery). VM Ware (VMW) is a favorite for me, though there are several others worth a look.

Wall Street Breakfast: Must-Know News

I'm puzzled how the banks/financials can still stay up when so many are going bankrupt, those that aren't are only because of our bail-out tax dollars, a further hand-out has been suggested as needed and bad debts are getting worse as not only mortgages but credit cards and car loans are defaulting. And this is without the bad assets we still don't know about.

The S&P is starting to slide, but the market manipulation going on is still holding up the financials: at our expense, and when they do go down, those holding these stocks will be hit again. But the CEOs and others will still be ok, especially now they are getting higher pay to make up for no bonuses!