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John Tamny seeks a ban on "bubbles" - not the phenomenon, but the word, which has now been overused into meaninglessness. There are two sides to every trade, and there's no law that says markets must collapse if they rise too much.

Fine...But, don't try to sell it to me & then call it an investment!

Goldman mega call: No Fed rate hikes until 2012.

That's one bet by GS that I'll take the other side of! They're full of bull
*%^t!

A sudden dive was halted and stocks have begun a steady climb back up, though still well off morning highs. At midday, the Dow +0.2% to 10,386; S&P 500 +0.4% to 1,105; Nasdaq +0.7% to 2,188. Crude -0.6%. Natural gas +3.6%. Gold -3.4%. Silver -3%. Platinum -2.6%.

Here's the reason for the $ strength & imminent equities selloff:
www.marketwatch.com/st...

A sudden dive was halted and stocks have begun a steady climb back up, though still well off morning highs. At midday, the Dow +0.2% to 10,386; S&P 500 +0.4% to 1,105; Nasdaq +0.7% to 2,188. Crude -0.6%. Natural gas +3.6%. Gold -3.4%. Silver -3%. Platinum -2.6%.

You'll get your retest. The $ keeps rising, commodities are selling-off.


On Dec 04 01:08 PM Niner wrote:

> My earlier post.
>
> I say there is major support at about 10300. If the DJ falls through
> that hard, we could be on our way to 10000. I look for another test
> of 10300 before the day is over. The Wall streeters will be back
> from lunch in 30 minutes or so. Let's see what happens in the post
> lunch 60 minutes. and then there is the pre close 60 minutes (30
> really).
>
> So far I'm wrong about the retest of 10300

And just like that, the Dow's triple-digit advance is gone. Dow now just into the negative, -1.74 to 10,364.41. S&P 500 dives, down 0.2% to 1,099.57, and Nasdaq on its way, now down 0.2% to 2,170. Basic materials, especially miners and metals, have been the drag so far.

The bulls are gonna fight like H*LL to hold Dow 10,300 & S&P 1,100. But, beware if you're a "dip buyer"...Da Boyz will cut you off at the knees if those levels fail!


On Dec 04 12:21 PM Niner wrote:

> Anyone want to try and explain the 50 point bounce.

And just like that, the Dow's triple-digit advance is gone. Dow now just into the negative, -1.74 to 10,364.41. S&P 500 dives, down 0.2% to 1,099.57, and Nasdaq on its way, now down 0.2% to 2,170. Basic materials, especially miners and metals, have been the drag so far.

Agree.
Something is very wrong with the employment #s. Why was the BO administration saying they expect an uptick in unemployment yesterday. Didn't they already know what the numbers were? Or, are they really just stupid?
Smells like market manipulation...


On Dec 04 11:57 AM Burning Madolf wrote:

> The employment numbers are probably wrong.
> The real story is retail showed no strength yesterday and the CBOE
> chose to shut down the RLX index all day.

And just like that, the Dow's triple-digit advance is gone. Dow now just into the negative, -1.74 to 10,364.41. S&P 500 dives, down 0.2% to 1,099.57, and Nasdaq on its way, now down 0.2% to 2,170. Basic materials, especially miners and metals, have been the drag so far.

Dollar's way up, bouncing off of extreme oversold condition. Two things: Europe has been hiding their banking mess & China' talking about floating the yaun.

In his testimony before the Joint Economic Committee, Tim Geithner says we need to bring our system of financial regulation "into the twenty-first century." Specifically, the Treasury Secretary decries the ease with which financial institutions can flip from one regulator to another just by switching their legal status.

Funny... They didn't have any problem with GS becoming a "bank".

Options Trader: 25% Off the Top Tuesday

Phil: Please comment on the PARD trade.

China says the Fed is endangering global recovery with its insistence on keeping domestic interest rates near zero for the next 12-18 months. China's chief bank regulator rebuked the U.S. for fueling speculative capital flows that may spur asset-price inflation, which he said has already led to massive dollar arbitrage speculation.

If the rest of the world doesn't like the falling $, why don't they step up to the plate and start buying?

Four months after cutting off lending, Advanta (ADVNA -72.8%) filed for bankruptcy and may turn its banking unit (not covered by the filing) over to an FDIC receivership. "The economic debacle over the last two years devastated Advanta’s small-business customers and Advanta itself," said CEO Dennis Alter, who's waiving his salary and bonus.

Advanta drove themselves out of business by jacking up the rates that their best customers were paying to userous levels at the onset of the credit crunch. Customers with perfect credit ratings saw their finance charges go from 4% or 5% up to nearly 30% overnight with no reasonable explanation. They've been ordered to reimburse cardholders (I've received 2 checks from them this year) for their shennanigans. Many small business owners like myself cut-up our cards, closed our accounts, & told advanta to stick it! RIP advanta...

Nouriel Roubini says Jim Rogers' forecast of $2,000 gold is "utter nonsense." Speaking at the Inside Commodities conference, Roubini repeated that asset prices have gone up "too much, too soon, too fast," and said oil hasn't gone from $30 to $80 just on supply and demand. Predictably, Rogers doesn't agree: "It’s clear Mr. Roubini hasn’t done his homework, yet again." (previously)

I somewhat agree w/Roubini. Having seen the commodities boom & bust of the 70's, I can see the same patterns now as back then. Speculation combines with the weak Dollar to force commodities bubbles. Gold may hit $2k and oil may reach $200, but not this year, or next. When fiscal conservatives begin replacing the idoits currently residing in D.C. next year, the party will start to wind down. Yes, there will be inflation, but, it won't be hyper-inflation. IMHO

Gold Fever Spreads to India

Maybe it's diversification. Or, maybe it was a panic buy. Is it really wise to buy at the high?

The climate story of the day, Clean Air Watch president Frank O'Donnell writes on his blog, isn't the psycho-drama being played out in the Senate Environment and Public Works Committee (webcast), but rather Warren Buffett's (BRK.A) decision to buy the coal-hauling Burlington Northern Santa Fe (BNI) railroad. "This is a $34B bet that coal will remain the centerpiece of American energy policy in the future. Buffett clearly believes that coal use will remain strong - and possibly grow."

BNSF hauls a whole lot more than just coal.

Gold futures strike a new all-time high of $1,077.30. Dec. gold currently +1.9% to $1,074.60.

Speculation....
If conservatives win today's elections, will that be a precursor to next November? If so, wouldn't that bode well for USD?