Stocks could easily surge 5% on monday given the lack of bad news or shoes dropping. Huge funds run by smart, young people are coming to the realization that there is huge value in this market and the mental recession is a shallow one. 70% of the US GDP comes from consumer spending and there are no signs that it is slowing at all. Manufacturing indicators are worthless. 6.5% unemployment isn't high, but is within the norm. Consuemr debt is still rising as is redit card debt. Huge spending. Also, web 2.0 is still thriving. http://seekingalpha.com/article/104823-making-money-on-myspace-payment-system-is-coming The web 2.0 summit ended last week and only a few web 2.0 companies are laying off people (but those were the lesser companies anyway). Myspace, google, facebook, twitter are still hiring and reporting no slowdown whatsoever from the fake financial crisis or mental recession. Record traffic and revenue. We need more deficit spending. We need more taxcuts. we need more bailouts so the dollar falls lower and oil goes up (which is good for tech and energy sectors). need more credit card debt. need more stimulus packages. need CEO pay packages. We need to eliminate unions and in-source and outsource labor so that multinationals are more profitable. China just announced a huge bailout. This should be good for a 2% futures rally at-least. The US markets are expected to open 3% higher on Monday. Hopefully congress will pass a $300 billion dollar bailout b4 January.
agreed with china announcing a 500 billion dollar bailout, the US should announce at least a 1 trillion dollar bailout to counter that, after all our GDP is 4x china's. I agree tomorrow is at least a 5% up day. Also GM, Ford and Chrysler need to be bailed out this week and that will provide further upside.
Excellent thinking Sir. In fact there is only one reason for stocks not surging 5% on Monday and that is .... "they simply don't" Once again the complex world of ET has been reduced to only two options...... "either stocks go up or they don't" regards f9
There is little chance of a surge while people anticipate it. Just like on Friday, everyone thought it would break up when Obama spoke. The market faked up and down. Yes, it ended up, but not up 8%.
You're crazy if you think these things are good for the economy. Luckily, I don't believe either is correct.
Please don't abuse shit trad3r. He's the best reverse indicator known to mankind. No-one can have an excuse for not knowing which way the market is going -he has made the call.
ST3, here's an article I think you will enjoy reading (at least in part) because it is calling for a rally to last into 2009. Once you get past that part it begins to get a bit ugly but perhaps by then you may be able to shake your perma-bull status. Stocks will most likely rise from here but massive stimulation and historically low interest rates will ignite inflation once again and the market will rise until inflation chokes the economy off yet again. In the meantime, I suspect you will actually make much of that money back that you recently lost but if you remain bullish, as I can almost guarantee you will, you will donate it back to the market yet again. So.....ET! Stock_trad3r is baaaaack.