Daily Investment Interpretations

August 30, 2010

2010-8-30 (Monday) The markets went south again today. (So much for staying power.) The NASDAQ Composite moved down 33.63 points (-1.56%) to 2,119.97. The Dow dropped 140.92 points (-1.42%) to close  at 10,009.73, and the S&P 500 fell 15.67 points (-1.47%) to end at 1,048.92. Oil closed at $74.03 a barrel, while Gold was unchanged at $1,239. The VIX climbed 2.76 to 27.21
    Recession won't end until 2011  A survey of business executives reveals that they believe the country is, for all practical purposes, still in recession, and will be until sometime next year.
    Savings rate dips in July  Consumer spending outran growth in personal incomes in July.
    Hedge-fund managers get more bearish on equities  The interesting quotation in this article is that some hedge fund managers have had their heads handed to them on a plate by betting on rising interest rates.
    Time to reappraise China growth outlook 
    Small-business hiring slows; outlook worsens 
    My investment advisory service warns that economic conditions are being painted as more worrisome than they actually are. Mark Hulbert echoes this optimism in The news isn't all bad, pointing out that corporate insiders are buying shares the way they did in March-April, 2009. But he also warns that insiders were spectacularly wrong in the 2007-2008 bear market.