Government isn't just watching you, they are also completely blowing the dang country apart. Other than that, all is well!
Today after the close they announced what I thought they would the minute Guitner was confirmed, and what I talked about last night here. We should get a very nice pop on the hope that finally we'll have a floor in financials since the Fed, in their infinite wisdom is now assuming ownership of all the toxic assets on the banks books! Yeahhhhhhh!
First off, this will provide us with a tremendous trading opportunity here and into next week. Should provide a very good sell the news opp here. In the meantime, hard to do anything but go with the proverbial flow.
It's amazing to me that I'm just a dude, and I could fix this economy 10 x's better in my guess about 18 months. Figure outside 24 months. Once again this is going to set up MAXIMUM PAIN for investors and the economy. Another false hope rally that won't do anything more than set up a great shorting opportunity for us. I wonder if Warren Buffet is paying them to do all this stuff to save his horrible trading style, the buy and hold til you're broke model.
I wonder if they realize they probably need about 50 TRILLION to buy up all the toxic assets. I'm now firmly in the GOLD bull camp. I hate to admit it, but I have been buying Gold from around $800 an ounce. I also own some futures here. Gold may get a pullback but I think it'll have to now go higher, what they are doing is INSANE.
You want to know what to do to prepare? Buy a wheel barrow. Actually, sorry, buy like 30 or 40 of them, because that's what it's going to cost you to get a loaf of bread. You'll need an additional 10 or so to get some milk and butter.
OK, so I'm in a cranky mood, I have the flu or somethin' so I'm a tad tired and yuk-fooey, hehe. But, you get my drift, just another free ride for the banks. It's amazing, even if it works, which I do HOPE it will, we really want to keep giving CEOs TRILLIONS who helped cause this whole mess in the first place? It really is Kafka-ish. Its mind boggling. I bought some FAS afterhours, and some C and BAC, figure if they really do take all the bad stuff out of the banks the sector should really get a sick lift. It'll be interesting to see how far, but FAS was $50s a year ago, its $10s and triple weighted.
I also like AMZN a lot long here into their earnings, every net company is blowing out, even YHOO, and AMZN said they had their best holiday season ever a month ago so I like the stock to maybe to see $55 if we do get a rally next couple of days.
Thing is, never know in this market the last week, but if the banks do ignite the way I suspect they will (also watch banks like STI and COF that are beaten to hell and could get huge moves on squeezes), then S & P may push 900 again in a jiff. We'll see, but we are gonna get a big move one way or another here, and my bet is UP off this move.
Let's see what shakes, I'm going to bed early, you guys can stay up and see where the futures take us. We are already up 10+ on the ES (S & P) futures, if it can hold 850 watch for a potential 200+ point day tomorrow near the open. We shall see, I'm probably taking the day off tomorrow and through the end of the week.
Man o man alive, we are setting up disaster city in this country, such a real shame. I love hearing these knuckleheads on TV saying how much the government is going to make overpaying for worthless paper. Unreal.
850 is key, if we can hold it we can get an expansion move tomorrow and through the end of the week, if we can't then we just stay in this chop fest for longer. I suspect the latter!
Shorts are gonna be very unhappy to start the day tomorrow unless I'm completely misreading this, which is possible but unlikely. Gold is up about $6 as well, man o man, why are they intent on blowing things up just to prop up the stock market? Oy vey. OK, they know not what they reap, but they sure as hell are gonna sow.