Daily Investment Interpretations

September 5, 2008

2008-9-5  The price of oil dropped another $1.66 to $106.23. The markets basically treaded water. Clearly, the markets are no longer bedeviled with inflation, but are now obsessed with the poor performance of the economy. The Nasdaq relinquished 3.16 points to 2,255.88, the Dow added 32.73 to close at 11,220.96, and the S&P 500 ended up 5.45 to 1.242.31. The VIX dropped one point to 23. 
    Unemployment edged up to a five-year high of 6.1%. Some additional articles of interest might be: Inflation expectations at five-year low, Fed is 'powerless' against this recession, says Kellner, Foreclosures, delinquencies rise, and One-Man March.    
    Mark Hulbert has published, Stock market may already be voting in presidential race and Hulbert's take on the pessimism quotient. Mark Hulbert concludes that investors aren't sufficiently pessimistic to signal a turning-point in the markets. 
    What's happening appears to me to be another down leg in the markets.