OIL, WAR, IRAN, ISRAEL, FANNIE, FREDDY,
GE EARNINGS
SETTING UP FOR THE CLIMAX!
I ask you, could there be anything else wrong out there? The GE earnings were actually okay and the outlook was not tragic but who cares. Oil is up nearly 10 dollars from 2pm yesterday as the middle east appears to be on the brink of war. Also this morning the NY Times says Fannie and Freddie may get a taxpayer bailout which would reduce the equity to zero. Stock futures are down 14 points on the S&P pre open and all since 5am when futures were flat. So i guess its a fasten your seatbelt type of day.
MLPS at least have enjoyed strong relative outperformance over the last 2 days and i'm trying to figure out why this is the case. Could it be that these ridiculous yields are drawing money for those who want a safer place to be? Can't go to many traditional areas so maybe, just maybe we are the only place to go. However i would caution that 2 days does not a trend make. Lets see if this trend continues today. Either way you have to be encouraged that the 262 March bottom held and that the index is up nearly 12 points from that low on Tuesday.
No corporate news and no upgrades or downgrades so far.
joseph cioffi's Source Page - Associated Content
4 comments:
Yes, one more big negative.
Yes experts at the NY Times have just conclusively stated that after considerable research:
Yes Virginia there's no such thing as "Santa Claus".
Can sentiment get any worse?
Glory!
Greehey just bought 20K NSH. I would look at this positively, but his last two purchases prefaced huge drops in the stock, although he bought them after run-ups.
It seems that there are a group of marginal holders that tend to bail out or buy in, thus moving these MLP averages around more than they should. Once they get through selling, we stabilize. Then, they wait and pile back in pushing us up again. Volume isn't particulary large in any case, compared to some other equitys. So, we wait out the bottom and collect our dividends.
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