dow closes above 11,000

R

roscoe

EOG Veteran
After 18 Months Away, [COLOR=blue !important][COLOR=blue !important]Dow[/COLOR][/COLOR] Revisits 11000

Comments (10) Add Comment

<!-- START V_9060b83a65fbcf4f96072d10591c8a0c_ajaxdiv1 --><FORM onsubmit="rateItOnSubmitHandler(this); return false" method=post name=FoxNewsStory_AddRatingForm action=""><INPUT value=RunScript type=hidden name=collabactionType> <!-- input type='hidden' name='collab_ratingDefinition' value='ratingdefinition-1.89.101' / --><INPUT value=RatingsDef_FOXRecommend type=hidden name=collab_ratingDefinition> <INPUT value=Rating type=hidden name=collab_type> <INPUT value=FOXpscripts/recommendObjectByRating.py type=hidden name=collab_script> <INPUT value=FoxBusiness type=hidden name=collab_site> <INPUT value=1 type=hidden name=collab_debuglog> <INPUT value=1 type=hidden name=collab_ratingKey> <INPUT value=returnStoryRatingCount type=hidden name=nextView> <INPUT value=returnStoryRatingCount type=hidden name=dpm_nextView> <INPUT value=returnStoryRatingCount type=hidden name=collab_nextView> <INPUT value=1.96.21996 type=hidden name=collab_object> <INPUT value=1.96.21996 type=hidden name=internalCollabOid> <!-- fmt:message key="Globals.MY_RATING"/--><!--div class="rec_goldThumbUp"--><INPUT id=V_9060b83a65fbcf4f96072d10591c8a0c_RateIt onmouseover="$('#tip_log').fadeIn(500);" onmouseout="$('#tip_log').fadeOut(4000);" value=RateIt alt="" src="/images/story/graythumbsup.gif" width=25 height=23 type=image name=comment1>0
You must login or register in order to recommend this.

<!--/div-->
</FORM><!-- END V_9060b83a65fbcf4f96072d10591c8a0c_ajaxdiv1 -->
<SCRIPT type=text/javascript src="http://w.sharethis.com/widget/?tabs=email%2Cweb&charset=utf-8&services=digg%2Cfacebook%2Cmyspace%2Cdelicious%2Cstumbleupon%2Ctechnorati%2Cgoogle_bmarks%2Cyahoo_bmarks%2Cyahoo_myweb%2Cwindows_live%2Cfriendfeed%2Cnewsvine%2Cmixx%2Cfurl%2Cmagnolia%2Creddit&style=rotate&publisher=ccd2a158-6cce-4bbc-afa8-1d2dc62fe84c&headerbg=%23c9cad4&linkfg=%230f0fa9&embeds=true&offsetLeft=-120"></SCRIPT>ShareThis| Respond to Editor | Print


By Matt Egan

FOXBusiness


<STYLE type=text/css xmlns="http://www.w3.org/1999/xhtml" xmlns:functx="http://www.functx.com"> .ybuzz { float: right; margin-top: -4px; margin-left: -2px; } // get ybuzz li to show up properly on the right </STYLE>

There's No Business Like FOX Business
On the eve of earnings season, the bulls ended their long battle for Dow 11000 on Monday as the blue chips broke that psychological barrier amid high hopes for robust earnings and new details of a possible rescue for debt-ridden Greece.
Today?s Markets
The Dow Jones Industrial Average rose 8.62 points, or 0.08%, to 11005.97, the Standard & Poor's 500 gained 2.11 points, or 0.18%, to 1196.48 and the Nasdaq Composite picked up 3.82 points, or 0.16%, to 2457.87. The FOX 50 added 1.76 points, or 0.20%, to 867.90.
Even though the gains were muted, Monday?s session marked the first close above the psychologically-important 11000 level for the Dow since Sept. 26, 2008 -- just days after the implosion of Lehman Brothers that sent financial markets careening.
?It?s a big magnet for us. We got here. Now, can we stay here?? NYSE trader Joe Greco of Meridian Equity Partners told FOX Business
 
ACCC

ACCC

2
Re: dow closes above 11,000

High stock prices just mean that Wall Street is doing well.

If corporate elites continue to profit and do not provide strong employment opportunities, the domestic economy will continue to be a failure for the vast majority.
 
brucefan

brucefan

EOG Dedicated
Re: dow closes above 11,000

The other side of the trade



U.S. Food Inflation Spiraling Out of Control

The Bureau of Labor Statistics (BLS) today released their Producer Price Index (PPI) report for March 2010 and the latest numbers are shocking. Food prices for the month rose by 2.4%, its sixth consecutive monthly increase and the largest jump in over 26 years. NIA believes that a major breakout in food inflation could be imminent, similar to what is currently being experienced in India.

Some of the startling food price increases on a year-over-year basis include, fresh and dry vegetables up 56.1%, fresh fruits and melons up 28.8%, eggs for fresh use up 33.6%, pork up 19.1%, beef and veal up 10.7% and dairy products up 9.7%. On October 30th, 2009, NIA predicted that inflation would appear next in food and agriculture, but we never anticipated that it would spiral so far out of control this quickly.

The PPI foreshadows price increases that will later occur in the retail sector. With U-6 unemployment rising last month to 16.9%, many retailers are currently reluctant to pass along rising prices to consumers, but they will soon be forced to do so if they want to avoid reporting huge losses to shareholders.

Food stamp usage in the U.S. has now increased for 14 consecutive months. There are now 39.4 million Americans on food stamps, up 22.4% from one year ago. The U.S. government is now paying out more to Americans in benefits than it collects in taxes. As food inflation continues to surge, our country will soon have no choice but to cut back on food stamps and other entitlement programs.

Most financial experts in the mainstream media are proclaiming that the recession is over and inflation is not a problem in the U.S. Unfortunately, they fail to realize that rising food and gasoline prices accounted for 58% of February's year-over-year 3.85% rise in retail sales. NIA believes price inflation is beginning to accelerate in many areas of the economy besides food and energy, and all increases in U.S. retail sales this year will be entirely due to inflation.

Please spread the word about NIA and have your friends and family subscribe for free at: http://inflation.us
 
brucefan

brucefan

EOG Dedicated
Re: dow closes above 11,000

Monday, April 26, 2010

Peter Schiff: Reports of Our Recovery Are Greatly Exaggerated


(snippet)
Without doubt, some of the trillions of dollars thrown into the economy by the federal government are filtering through to consumer spending. In addition, an ever greater percentage of mortgage holders have decided to ignore their mortgage payments and condo maintenance obligations. The sudden windfall of extra cash has pumped up spending. But is this a measure of real economic recovery?
​


Fed Chairman Ben Bernanke says the economy is stable. Many people believe him. But, at the same time as he advertises economic recovery, Bernanke tells us that short-term Fed rates will be kept at zero "for an extended period." Why would he risk runaway inflation by holding interest rates down if the economy were truly rebounding?
​
Furthermore, despite creating and spending these trillions of new dollars, the Fed continues to resist heavy Congressional pressure to show the public where the money has gone. Rumor has it that some of the money went to institutions outside America. In today's world, can we trust the central bank?
​
Government pronouncements and the Wall Street media have been castigating Greece for prolific spending and false accounting. Other nations such as Ireland, Spain and Portugal are considered pending dangers to the international monetary system. The fact is that, based on deficit to GDP ratios, the UK (12.6%) lies third behind Iceland (15.7%) and Greece (12.7%)! The United States (10.6%) lies sixth behind Ireland (12.2%) and Spain (11.4%)! The risk of an international meltdown is no longer restricted to banks. It now threatens entire nations, including the great powers. The price of gold reflects just a part of this risk.
​
Unfortunately, the economic position of the United States and the member states of the European Union, excluding Germany, is not as healthy as our media and politicians would have us believe. The danger is even greater when measured against the relative security and economic success of China, India, Brazil, Australia, Canada and New Zealand (BIC-CAN). In such countries, economic growth and financial responsibility are real. At home, I'm afraid the reports of our recovery are greatly exaggerated.
​
More Here..
http://www.financialsense.com/fsu/editorials/schiff/2010/0422.html
 
brucefan

brucefan

EOG Dedicated
Re: dow closes above 11,000

<TABLE cellSpacing=0 cellPadding=0 width=650 border=0><TBODY><TR><TD><TABLE cellSpacing=0 width=650 border=0><TBODY><TR><TD style="PADDING-RIGHT: 14px; PADDING-LEFT: 14px; PADDING-BOTTOM: 14px; PADDING-TOP: 14px">Taipan Daily: How Much Is This Recovery Going to Cost?


by Justice Litle, Editorial Director, Taipan Publishing Group ​

It?s crazy how many different things can be traded these days. There are futures contracts for just about everything, even the weather. In my days as a commodity broker, many moons ago, we even used to joke about putting on a tiger shrimp/powdered milk spread. (You could actually do this, were you so inclined. Or at least you could back then.)
But you know what would be really great to see? A futures contract that rises or falls with the reputation of central bankers.
Someone smart (like Robert Shiller) should create the ?Federal Reserve Good Will Index,? to measure popular sentiment toward the Chairman of the Fed. Then the Chicago Mercantile Exchange could set up a contract that traded off it.
I wish they had done this years ago. If they had, I would have shorted the daylights out of Alan Greenspan futures contracts, right about the time Vice Chairman Alan Blinder referred to him as ?The greatest central banker who ever lived.?
<TABLE cellSpacing=0 width=500 align=center bgColor=#d3d3d3 border=0><TBODY><TR><TD style="PADDING-RIGHT: 10px; PADDING-LEFT: 10px; PADDING-BOTTOM: 10px; PADDING-TOP: 10px" bgColor=#d3d3d3>

​
</TD></TR></TBODY></TABLE>
Talk about an unsustainable high! Since that day in 2005, Greenspan has gone from ?Maestro? to ?Master of Disaster? in the eyes of the world (for anyone keeping score that is).
And as for today, your editor would happily short the monetary witch doctor du jour, Federal Reserve Chairman Ben Bernanke, in large size too. What an excellent speculation that
would be.
Bernanke 5,000
Like the Nasdaq of old in the days of the dot-com bubble, the Federal Reserve?s reputation has soared high in recent months. As the global financial crisis fades from investor memory, belief has been widespread that Ben Bernanke saved the day? that both America and the world were saved from disaster by the Fed?s decisive action and generous intervention.
Well. We?ll see how kindly history treats that judgment.
Remember Nasdaq 5,000? That was the magic number (5,408.62 if you want to be precise). When the Naz kissed that magical 5K level in March of 2000, soaring ever higher on gossamer dot-com wings, it turned out to be the kiss of death. A brutal 75% decline followed.
Your editor predicts that, were the Fed Chairman?s reputation linked to an index, we would soon be approaching ?Bernanke 5,000,? in keeping with the Nasdaq of old. And also in due time, we will see a similar bone-crushing decline.
Bernanke?s reputation will take a brutal dive downward ? and never fully recover ? when it becomes clear, to even the most deaf, dumb and blind observer, that this recovery was purchased, via the Federal Reserve?s funny money trillions, at far, far too high a cost.
Cost? What Cost?
Of course, right now we have a situation that could be considered amusing? or tragic? or both. Many market investors and commentators aren?t even aware ? so far ? that this recovery even HAS a hidden cost.
All they see are the pretty economic data points creating an oh so pleasing medium uptrend. Rampant stimulus? Out-of-control fiat money creation? Pshaw. They think all this came about for free!
Take Maria ?Money Honey? Bartiromo for example. Ms. Bartiromo has been a CNBC financial reporter since 1993. She has written books, hosted World Economic Forums, reported ?live on the scene? in countless exchange floor experiences, and ridden in private jets with the Wall Street glitterati.
And yet, for all that, she seems absolutely clueless as to what is actually happening. ​

Sound too harsh? The evidence is caught on videotape. In a Yahoo Tech Ticker interview, which you can watch here, Bartiromo said the following:

?There?s nothing wrong with a boom bust economy. What?s wrong with a boom bust economy? Things are booming and then you get a bust and that opens the door for wealth creation.?
​

Nothing wrong with a? the mind boggles. Nothing wrong with trillions of dollars in wealth and savings, vaporized overnight by a bunch of greedy banksters? Nothing wrong with America in financial turmoil? Nothing wrong with 20% unemployment and underemployment? Nothing wrong with American small business ? the backbone of the country ? gasping for air like caught fish flopping around in the bottom of the boat, while the main perpetrators of the crisis are rewarded with risk-free billions in new profits? Nothing wrong with trashing the rule of law and descending into financial oligarchy?

Pardon my French, but Ms. Bartiromo has no idea ? none ? what the hell is actually going on. As Bill Bonner once quipped in Financial Reckoning Day, she is like a squirrel watching a bank robbery. She and legions like her ? who represent the financial establishment! ? have zero grasp of Austrian economics, which warns very plainly that these ?harmless? booms and busts, brought on by government massaging of the credit cycle, lead to outright fiscal disaster. Wealth creation? Try wealth DESTRUCTION, on a vast and epic scale.​

The CAT Example
<TABLE style="FONT-SIZE: 12px" cellPadding=8 width=242 align=right border=0><TBODY><TR><TD vAlign=top width=222 height=157><TABLE cellSpacing=0 cellPadding=0 width=225 border=0><TBODY><TR><TD background=http://www.taipanpublishinggroup.com/images/td-sidebar-widebg-top.jpg height=34>
[FONT=Verdana, Arial, Helvetica, sans-serif, Impact]How Are We Doing?​
[/FONT]​



​
</TD></TR></TBODY></TABLE><TABLE style="CLEAR: both; BACKGROUND-POSITION: 50% bottom" cellSpacing=0 width=225 align=center><TBODY><TR><TD style="PADDING-RIGHT: 16px; PADDING-LEFT: 16px; PADDING-BOTTOM: 8px; PADDING-TOP: 8px" width=221>

​
<TR></TR><TR></TR></TBODY></TABLE></TD></TR></TBODY></TABLE>The problem with the financial establishment ? and it is only one of many ? is a sort of willful myopia. These people put on their blinders and green eye shades and fixate with intensity on earnings and indicators and managed data points? all the things that they want to see. Anything that they don?t want to see or hear, they ignore. ?A man hears what he wants to hear and disregards the rest,? as Simon & Garfunkel once sang.
Take the recent earnings report from Caterpillar (CAT:NYSE), a well-known maker of earth-moving equipment and other machinery. CAT reported an ?improved outlook,? to much praise and good cheer from investors ? along with a sharp price gap higher ? even as its revenue declined 11% year on year.​

(And somehow an 11% top-line decline, off the miserable crisis conditions of Q1 09 no less, counts as improved? Hmm.) Worse still:
  • CAT?s machinery sales were down 1%
  • North American machinery sales were down 15%
  • Dealer inventories were half the previous year?s levels
  • Engine sales were down 28%
Gee, that all sounds terrible. So why were investors cheering ? and buying? Because Asia profits were up 40%, leading to a modest profit where last year saw a loss. That happy circumstance drove everything. The bad news on overall revenue decline? machinery and engine sales decline? utter North American malaise? all ignored.
It gets even more amusing. Those save-the-day profits CAT picked up in Asia? For a company that sells earth-moving equipment, how much of that strength might be linked to the fact that China is in the midst of a white-hot real estate and construction bubble? (Hmm, you think?)
Not only did CAT look awful everywhere except in Asia ? where China has been bankrolling nutty construction projects like mad ? the company actually conditioned its positive outlook on the presence of continued stimulus!
As the WSJ reported, ?[CAT] raised it outlook for 2010, though revenue declined on continued weakness in developed economies, especially the U.S. and Europe. It cited concerns about central banks withdrawing stimulus too soon.?
A Cost We Cannot Bear
So there you have it. Caterpillar, one of the world?s premier industrial companies, shoots the moon on positive investor sentiment even as its business model clearly hinges on the kindness of central bankers.
?Please Mr. Bernanke, don?t stop the flood of free money ? it?s all that?s keeping our USA lines from collapsing. Please Beijing, don?t stop building deserted shopping malls and empty skyscrapers and highways that no one will drive on. It?s the only thing making us look good. Yet our outlook has ?improved?? as long as you keep it coming.?
The thing is, the torrential gusher of free money that has so buoyed us isn?t actually ?free,? any more than the low-cost funds once happily borrowed by Greece were free.
The unprecedented stimulus ? a ?great macro liquidity experiment? the likes of which the world has never seen ? comes with a horrible embedded cost? a potential price so high that the crisis ?cure? could ultimately prove far worse than the disease.
<TABLE cellSpacing=0 width=500 align=center bgColor=#d3d3d3 border=0><TBODY><TR><TD style="PADDING-RIGHT: 10px; PADDING-LEFT: 10px; PADDING-BOTTOM: 10px; PADDING-TOP: 10px" bgColor=#d3d3d3>

​
</TD></TR></TBODY></TABLE>
The true cost may only be known, in fact, once the Federal Reserve has managed to inflate yet another money and credit bubble (to compliment the decade?s previous two). And once this third bubble pops, we could be left with an even bigger financial crisis to clean up? and no room on the balance sheet to spare.
A country without reasonable means of paying off its debts is only as solvent as the market judges it to be. At some point in future, thanks to the Greece precedent, the market may judge the USA technically insolvent ? i.e. unable to pay its debts except by way of printing press, which is a form of default in disguise.
That is the frightening reality that the Maria Bartiromos of the world miss, even as the overlooked danger signs mount.
For all that we have sacrificed, there will not be nearly enough ?bang for our buck? in the end, when expensively purchased recovery on the whole runs headlong into the brick wall of sovereign debt crisis. The looming costs of the stimulative printing press ?solution? could prove too much for the West to bear.
Warm Regards,
JL​

​


​

​
​

</TD></TR></TBODY></TABLE></TD></TR></TBODY></TABLE>​

http://www.preciousmetalsadvisor.com/?o=95944&s=97605&u=32553247&l=105139&g=187&r=Milo
 
brucefan

brucefan

EOG Dedicated
Re: dow closes above 11,000



The Beginning of Global Economic Chaos


With the mainstream media focused today on the rioting and civil unrest in Greece, the Dow Jones plunged this afternoon from a decline of 400 points to a decline of nearly 1,000 points within minutes, before rebounding to finish the day down 347. Meanwhile, the price of gold surged $34.40 to a five-month high of $1,209 per ounce.

NIA believes U.S. stocks are extremely overvalued in terms of real money, gold and silver. One of our top ten predictions for 2010 that we announced on December 21st, was that we would see a sharp decline in the Dow/Gold ratio from 9.3 to below 7. After today's decline in the Dow and rise in the price of gold, the Dow/Gold ratio finished the day at 8.7. We expect this downward trend in the Dow/Gold ratio to accelerate in the weeks and months ahead.

On March 5th, 2009 with the Dow Jones at its low of 6,594.44, almost all analysts on Wall Street were proclaiming that the U.S. would experience deflation for many years to come. However, NIA released an article that day entitled, "The World is Awashed with Dollars". In this article, NIA said, "It's a real shame that those who lost most of their money in the stock market and Real Estate bubbles, and are now finally selling out after these markets have already collapsed, are positioning themselves to get wiped out all over again through massive inflation."

NIA went on to say, "As the inflation being created today starts to work its way through the system, U.S. stocks and Real Estate will eventually start rising in value again." NIA then said, "Most of the money that is presently being created by the Federal Reserve is being hoarded during this temporary deflationary phase. As the government continues to bail out every bank in existence and pass larger stimulus plans, all of the Dollars being squirreled away around the world will soon come out all at once."

The Dow Jones went on to rise as much as 70% after our March 5th, 2009 article and while analysts today are proclaiming the U.S. economy is in the midst of recovery, NIA recognizes the entire rise in the Dow Jones has been due to nothing but inflation. This week's dip in the Dow Jones is only going to persuade the Federal Reserve to keep interest rates at 0% and create further monetary inflation. This will add more fuel to our economic "Meltup" and could lead to hyperinflation a lot sooner than we previously expected.

Standard & Poor's recently downgraded Greece bonds to junk, yet still rates U.S. bonds as AAA. The only thing separating U.S. debt from Greece debt is the Federal Reserve's printing press. NIA believes monetization is even worse than default, and U.S. debt already deserves to be rated junk right now.

The mainstream media puts too much stock in credit ratings agencies; they have already forgotten how Standard & Poor's and Moody's rated CDOs as AAA that were backed by BBB or lower subprime mortgage bonds and didn't downgrade them until it was too late. The media only sees what is happening now, they don't have the foresight to see what crisis will occur next. The debt crisis in Greece is being used to distract Americans from the real debt crisis in the U.S. The rioting and civil unrest in Greece today is nothing compared to what could happen in the U.S. when the U.S. government is inevitably forced to default on its social security obligations.

NIA will be conducting an interview this evening with Gerald Celente, who we consider to be the most accurate trends forecaster of all time. We will be using footage from our interview with Mr. Celente in our new documentary 'Meltup', which will be out later this month. We highly recommend that you visit Mr. Celente's Trends Research Institute web site at http://www.trendsresearch.com and subscribe to his Trends Journal.

If you would like your friends and family to be the first to see Meltup, please tell them to become a member of NIA for free by subscribing today at http://inflation.us
 
brucefan

brucefan

EOG Dedicated
Re: dow closes above 11,000

Of course Tank thinks this is all my fault

Im too negative :pop:


Still calling for dow 5000, gold 5000 ( not next week Tankster 12io4j2w90)


Market Now Just 15% Above 666 Lows, 22% Off 2010 Highs, When Priced In Gold



Submitted by Tyler Durden on 06/30/2010 14:25 -0500

It may come as a surprise to some that when the market's performance is expressed in the opposite of infinitely dilutable paper, we are currently just barely 15% higher than the generational S&P low of 666. As the chart below demonstrates, the S&P expressed in gold is plunging, and has dropped 22% from its 2010 highs, down 18% from the beginning of the year, and just 15% higher than March 5, 2009. As Russia and GLD have been demonstrating so aptly over the past 5 months, gold is not dilutable, and can not be contaminated with various Greek sovereign bond holdings. It is, in summary, pure, and is immune from that strain of 100% lethal, and printerborne, Central Banking syphilis where one's paper rots off. Which is why the Dow may easily pass 36,000. The issue is that at or about that time, the Dow to Gold ratio will be 1. Note also, the downward channel in the SPX/Gold index: each day this channel is not broken, is another day that Bernanke pops a few extra Ambien.



Market Now Just 15% Above 666 Lows, 22% Off 2010 Highs, When Priced In Gold | zero hedge
 
T

tank

EOG Dedicated
Re: dow closes above 11,000

brucefan said:
Of course Tank thinks this is all my fault

Im too negative :pop:


Still calling for dow 5000, gold 5000 ( not next week Tankster 12io4j2w90)
Click to expand...
Of course the food riots will be here soon though right???:+textinb3

Your not too negative you are just flat out manic depressant.Keep stocking up on the bottled water and MRI's.
 
You must log in or register to reply here.
Top