- Whenever the market starts off strong out of the gate, I put my skeptic hat on. It's the one with the big "S" on it, and well creased around the edges. There is an old trading bromide about fading the open, no matter which way the wind blows out of the gate.
- The Fed's Alan Greenspan will bust a move tomorrow, and everyone thinks it'll be another .25% uptick. What folks will focus on is the language of the statement. Will "measured pace" still be included, excluded, or reworded for the Holidays? You know, I'd like to hear Alan Greenspan weigh in on the "Christmas" vs. "Holidays" debate. How many words would it take The Maestro to explain his view, and how many pundits would it take to translate it into readable English? I bet he'd say something like:
"While it is true, that in late December, an event transpires that does have some level of significance to many Americans and people around the globe, it is also true that there exists a certain level of controversy on what this day is or means. Indeed, many school children and municipalities struggle with the significance of this late December event year after year, and while the Federal Reserve does maintain an opinion on the matter, what purpose would be served by including any comment or description of this event during this hearing?"
And then Barney Frank would interrupt Greenspan and ask him if the Bush tax cuts "for the rich" were irresponsible.
- Speaking of the Fed, if you want to know more about Ben Bernanke, read Bernanke Confuses Depression Cure with Disease. Ben Bernrnake believes that credit expansions need never end - that a boom can be prolonged indefinitely simply by printing enough money. (Well, we're going to need it. Have you seen the budget deficit?) I knd of wonder what the market mood will be at the time Helicopter Ben takes over, and The Maestro retires.
- I've added a few more index tickers and ETFs to my Black Box market scans. I normally don't stray too far from equities (and the major indices), but I've noticed the Black Box has been doing a good job with sector ETFs. In addition to sectors, I track a few "big stocks" in various industries. Sometimes they give an early tell before the index reacts.
- I don't know if Viacom buying Dreamworks and then selling all their inventory makes sense, either.