Blog
So, What Happened?
November 2, 2009
Good morning. Despite a solid advance of 2.1% last Thursday on first estimates of third quarter GDP, the week showed a fairly large decline in the SPY of 4.64, or 4%. The close Friday in the SPY of 103.56 represents a 6.1% decline from the 110.31 high set on 10/21. Last Friday was particularly troublesome in that the market more than gave away a solid advance on Thursday, an advance based on a strong economic number.
Last Chance
October 26, 2009
Good morning. Being a bit busy today, I would just like to announce that today is the last chance to register for tomorrow’s free Protected Index Program® Teleconference, hosted by my brother Dan Haugh. This 90-minute teleconference will take place from 6:00pm – 7:30pm and all you need to participate is a PC and a phone – the PC to view the presentation (sent to you as a link) and a phone to call in the designated number to hear Dan (you will also be able to ask questions). PTI is billed for all connections, but you MUST REGISTER at www.PTISecurities.com/Education.htm – enjoy!
The Sherman Act
October 19, 2009
Good morning. A positive week for the market last week, even with a down Friday due to a couple of rocky earnings reports. The SPY closed at 108.89, up 1.5% for the week, bringing the total rally in the SPY from the March low to 62.3%. Friday there was positive earnings from Google, but not so positive from IBM, GE, and Bank of America. In fact, BAC still seems to be writing off some loans in the consumer sector and will continue to have some problems in that area for a while. The question is, how much of even a positive earnings announcement is already anticipated in the price?
Traditionalists Ask “Why?”
October 12, 2009
Happy Columbus Day. Remember to feed the meters even though all public employees are enjoying a paid Holiday. More on that later. The market had a huge rebound week last week, and we are on the verge of totally forgetting that nasty, and ultimately forgettable to some, sell-off of the last two years. The SPY rallied from 102.49 to 107.26, a very large weekly move of 4.7%. The VIX was pummeled, starting the week at 28.68 and finishing 19% lower at 23.12. So we are to believe that not only is the market going straight up, and your investment in the market worth more, the insurance on the now higher value should be less. I thought the market was supposed to be rational?
Striking a Balance
October 5, 2009
Good morning. Last week the market had its second down week in a row, with the SPY down 1.96 to close at 102.49. That represents a decline of 1.9%, and is 5.2% off the high of 108.06 reached of 9/17. Is it a healthy pause or is the rally over? To be determined, but clearly the “buy every dip” mentality evident in the long run-up has cooled some. Economic numbers in the last couple of weeks have shown uneven progress in the recovery, and those most recent actually seem to indicate that the recovery is stalling in the face of huge governmental stimulus.