Next week the Dow soars past 11700 or falls below 11k. 1. Lehman brothers, if they don't find any buyer over the weekend this will be a huge problem come Monday morning or if the deal isn't what many expect could also have a negative impact. 2. Concerns over MER, AIG and WM heading onto next week. AIG down over 40% in a single week. Rumor that JPM might by WM etc etc etc 3. Fed meeting on Tuesday. I think a few people think the FED is going to cut rates by at least 25 basis points. I'm sure the possibility is around 50% due to the rise in the dollar and collapse in commodities. If they do cut equties could bounce 2% or more that day. I see no reason for any rate cut. 4. GS earnings. I'm sure they lowered them so much that beating them won't be a problem. As every broker and bank has had a problem, GS seems to be on their own in this wallstreet credit crisis. 5. IKE Next week brings on EXTREME volatility. I think we could see 150-300 point swings all week. Get ready. Even cnbc will be going on air at 8pm eastern time on Sunday to cover these market moving events, who would have thought. I thought they should keep the info commercials on instead, those seem more important during times like these.
Most of this garbage was already known on Friday before markets closed. Look at the DOW, it practically finished unchanged even though AIG was down 40%...
I am betting finally christopher cox comes out tonight or sunday and either puts the old uptick rule into affect or some sort of a new anti naked shorting rule. Mark this.. witness it! Tonight or sunday!
Cox is the head of SEC and the SEC dropped the rule after doing an "academic" research at peak of a bull market (idiots).. these clowns are a joke! My guess is they got paid off by the hedge funds...
if lehman file chapter 11 at 10pm sunday night, and asians and euros sell off it will provide a good buying opportunity on US open i think. similar to bear stearns announcement, one last shakeout selloff then up up and away into the panic! ES and YM have shaken off last weeks financial woes implying the market is getting less and less 'worried' about financials behind the surface
I think we'r not even 1/2 way into the financial crises. Forclosures are still being filed at a very high rate.. add the defaults starting to occur on prime mortgages(due to rise in unemployment rate and many other economic factors) and the start of meltdown in commercial real estate... We are in for this mess for a long while ladies! Do not think otherwise.