In
yesterdays' closing post, I cynically remarked that the powers that be
(TPTB) would manufacture a good-sized bounce after the drubbing the
markets took:
" I expect at least some bounce (1355?)
tomorrow morning -- perhaps a result of overnight news designed to
stabilize the markets... Keep an eye on news in the morning -- euro zone, of course, but also
the ADP employment figures (pathetically always great) and crude
inventories."
ADP reliably reported better than expected
employment gains, gasoline
inventories fell 1.6 MM barrels instead of the 100,000 gain expected, TPTB across the pond were all agog at
how well the debt swap is going and -- just for good measure -- a
QE rumor was leaked to WSJ reporter and Fed mouthpiece Jon Hilsenrath. Even the WSJ's
Marketwatch thinks this PPT reaction was a little too obvious.
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| Last Night's Forecast |
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Today's Markets
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Bears could be excused for feeling like the
deck is stacked against them -- because it is. The plunge protection cabal is
alive and well. Of course, it was alive and well last July, too, when
the market fell 18% in a matter of 12 sessions. Hmmm...
[reprinted from today's daily post]
Late night hello...
ReplyDeleteA little chatter out there...calling for a gap open under 1340....leading to 1330/25/20.
That'll do me! I think that'd equate to roughly IWM 76 which looks like a very a pretty strong zone for 2-3 day bounce.
your point about last July is interesting though, I remember back then...the key issue was when we saw that lower high..and then.. 12 days of fun.
PW I couldn"t help but laugh yesterday when the QE 3 report hit the newswire. Like I have been saying "no such thing as free markets anymore, just interventions"
ReplyDeletePay the price they(we) most asuredly will and a very high price it is going to be.
Cheers