Click download link to listen on this device: Download Show
Hi all, be careful on this leg up looks like a bear trap to me. I am waiting till after the meetings this week.
I heard on a local radio station today that the mayor of one of our local cities is threatening to shut off the water to a local prison because the state of Illinois owes over 300,000.00 to the city. The are so late on payment that late fees have pushed the bill up over 400,000.00. Talk about minature Greece/Spain. They will not stop this reckless spending. The cliff is in sight! God bless.
Someone just sent me a cartoon today. If I could post a picture, I would, but it was Sandusky being led away in handcuffs with the “Penn State” logo on the back of his shirt, by a guard with “State Pen” on the back of his shirt. Funny! I’m sure it will make the editorial page of half the newspapers today.
The strong pull of deflation is clearly here as seen in the price of gold. I went away on vacation last week with gold at $1630 and was expecting to come back with gold over $1700 – instead it is once again heading towards the December lows, which it must hold. The Greece election was a non event and Bernake threw cold water on QE hopes.
We are on a very sensitive market timing cycle this week and early next week with Europe’s problems, the calendar and bank ratings being set lower. Spain is right on the edge and Germany and its people-courts are saying some current open credits are illegal and no more joint credit exposure will be extended. This is highly sensitive and market accident prone stuff – Traderrog