Sample of today's headlines:
Jobless Claims, Inflation Jump as Economy Wobbles
Bank Profits Ready to Tumble, Stocks to Fall: Whitney
Wal-Mart Sales Fall Short of Forecasts
Fed Raises Discount Rate to 0.75% From 0.50%
Does anybody else see what is happening? The Fed must now start reeling in the massive amount of liquidity it has poured into the market.
Rates rising, Dollar soaring, Euro crashing, unemployment rising, Sovereign debt coming out of the closet (thanks to GS). Hmmmm.
Earlier this week the Chinese expressed that they maybe tire of buying our debt. Well, let's give them a higher rate to entice them to buy more! (Yeh, that'll work).
Next weeks headlines:
Weak demand for Treasury Auction!
Even if the economy can somehow continue to grow, the run in the stock market is over!
Might have been early on the 14th but happy with our position.
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