What say ye experts?
Is this rally the real deal & start of a new uptrend?
Is this rally the real deal & start of a new uptrend?
Is this rally the real deal & start of a new uptrend?
- Thread starter DisciplinedHedg
- Start date
I dont know, but thats what they always say every time the market bounces... and then it manages to resume its downtrend.
Perma bears defiantly cling to the same tree..nothing changes till they are completely defeated and run over with.. and that will happen..they are out of ammo here.
No.
Think about this - Goldman was up $25 today, as it reported profits that shrank 53% from a year ago quarter.
Their business will continue to shrink, now that investment banking, consulting, selling CDOs and underwriting IPOs are all dwindling aspects of their revenue flow.
What will take up the slack?
The U.S. economy is on the edge of recession, if not there yet, and the consumer is slowing as evidenced by rising credit delinquencies.
Manufacturing is slowing dramatically, and inflation is sizzling. Housing is still in free fall in many parts of the country. The U.S. dollar doesn't buy nearly what it used to, either.
Job growth is also anemic, when there's any job growth at all. Government deficit spending is way beyond out of control. And our trade imbalance is laughable and unsustainable.
None of the above is fiction. It's reality.
Are there positives? Sure. Some. U.S. exports have gotten cheaper.
The changes underlying the economy today are real, are mostly adverse, and the rally today was more a gasp of hope and optimism and denial than anything else.
It was also a lot of short covering.
Cheers.
Think about this - Goldman was up $25 today, as it reported profits that shrank 53% from a year ago quarter.
Their business will continue to shrink, now that investment banking, consulting, selling CDOs and underwriting IPOs are all dwindling aspects of their revenue flow.
What will take up the slack?
The U.S. economy is on the edge of recession, if not there yet, and the consumer is slowing as evidenced by rising credit delinquencies.
Manufacturing is slowing dramatically, and inflation is sizzling. Housing is still in free fall in many parts of the country. The U.S. dollar doesn't buy nearly what it used to, either.
Job growth is also anemic, when there's any job growth at all. Government deficit spending is way beyond out of control. And our trade imbalance is laughable and unsustainable.
None of the above is fiction. It's reality.
Are there positives? Sure. Some. U.S. exports have gotten cheaper.
The changes underlying the economy today are real, are mostly adverse, and the rally today was more a gasp of hope and optimism and denial than anything else.
It was also a lot of short covering.
Cheers.