Blog Archives

Bin Laden and the Trickle Down Theory


Good morning. It was another solid steady move to the upside last week, with the SPY rising 2.65 (2%) to close at 136.43. This move, again, comes under the general umbrella of lower dollar and higher commodity prices in line with the expansionary monetary policy being maintained by the Federal Reserve. Today we have the added bullish sentiment accompanying the raid on Osama Bin Laden’s compound in Pakistan, during which he and several companions were killed by U.S. Special Forces.

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Rumors of a Hidden Cliff


I  invite you to register for our (complimentary and always no-pressure) Protected Index Program® In-Office Seminar to be held at PTI’s Downtown Chicago Offices on Saturday, January 15th, 2011 from 9:00am – 12:00pm. My brother Dan and I will be talking about how the PIP strategy works and fielding questions. Seating is limited but you must register to attend here. I look forward to seeing you there!

Good morning, and Happy New Year. The market started the New Year with a nice gain on the first day, and basically held on to those gains for the rest of the week. The SPY was up 1.39 on the week to finish at 127.14 (up 1.1%), which represents the highest levels since early September of 2008. The VIX was down on the week, closing down 2.7% at 17.13. The VIX, and the volatility levels in the majority of stocks, continue to exhibit a very pronounced skew to the upside as we go out in time.

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Assumptions Going Forward


Good morning. First real down week for the market in a while, with the SPY down from 95.08 to 92.04, or 3.2% on the week. A lot of the down move was caused by a correction in the price of commodities, most notably oil. Oil was down over 3% on Friday, and the oil part of the SPY (XLE) was down 8% on the week, from 53.51 to 49.21.

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General Motors


Good morning. A powerful advance last week in the market, with the S&P running Friday on the close to finish up 3.9% on the week, moving from 89.02 to 92.53. Continual upward moves in oil and other commodities are fueling the rally, as evidenced by the XLE being up 6.3% for the four-day week. Depending on your point of view, the increase in oil prices is an indication of a start to the recovery or an amazing example of the power of OPEC and the oil companies to hoard and store oil for the purpose of driving up prices.

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