|
PureBytes Links
Trading Reference Links
|
I hope no one is fooled by the action of the market today.
It was completely programed by the financial powers who run
this country and executed by CNBC.
They started off a little after 9:00 (all these times are
Chicago time) with IBM's announcement of a 3 billion or so
buyback which is BS since IBM has had a buyback program in
place for a long time. Next came Bill telling us how the
deficit hit a new low. Then came a steady stream of the
usual BS artists from the big brokers with soothing
reasurance that everything is going to be OK. After lunch
they trotted out Peter Lynch with some more soothing words.
Then about a half an hour before the close they ran an
exclusive new story that Intel was preparing to announce a
buyback. My data & news server, DTN, had a denial from
Intel that they were going to make a buyback but this came
after the market closed.
I hope no one is fooled by this rally and puts buy orders in
Thursday morning. At the very least I'm going to wait to
see if there is a test of the low. If I'm wrong and this
keeps going I'll miss a few points but I would rather be
safe than sorry.
BTW, I just bought a small position in gold (3 contracts).
Everyone hates it but it turned around today after breaking
to a new low. Saw a metals analyst from one of the major
firms (maybe Morgan Stanley, not sure) who talked in favor
of gold yesterday. He basically said the current price is
below the average cost of production so there should be a
spate of mergers among the producers and a shutdown of high
cost mines which will reduce the supply. I'm not a gold bug
but I think there might be 10 or 20 dollars in the contract
over the short term.
BTW, I'm still long my 10 contracts of Yen. Sure is testing
my patience. I'm down a few thousand one day and up a few
the next. Heard a rumor Soros is buying Yen on CNBC.
Interesting, but I wouldn't hang my hat on anything that
rumor mill says.
Bob Doeden
|