market recap 2/28...it'd be funny if it weren't true
recap by trader Dan Norcini of jsmineset.com:
[I]Surprisingly enough, the US stock market actually declined (at least it is as I write this). I say “surprising” because recently we have been privileged (I will use that term for lack of a better word) to witness the fact that the worse the news on the US economy, the higher the US stock markets have moved. Supposedly the idea was that the worse the news the better case for Fed rate cutting which means that money supposedly gets cheaper and credit related problems supposedly get better which supposedly means that company profits get better since consumers supposedly get more in the mood to spend more money they don’t have as they supposedly do not somehow manage to plunge themselves any deeper into the morass of indebtedness than they already are.[/I]
anyone who still thinks our markets are rational is kidding themselves. At a time when inflation is up, food prices are literally going through the roof, more people are losing jobs, our money is getting devalued, and we still have had a lot of rallies lately. We officially live in an era of authoritarian-driven enterprise. The talking-heads on CNBC say "i don't think we're in a recession" and everyone keeps buying.
Last edited by JetsCrazey; 02-28-2008 at 08:38 PM.