Daily Investment Interpretations
August 18, 2011
(Thursday Night): The
markets dove again today: Another steep selloff,
Selling Resumes on Growth Fears.
Composite lost 131.05
) to end at 2,380.43.
The Dow declined 419.63
at 10,990.58; the S&P 500 sagged 53.24
to settle at 1,140.65. Oil slipped to $81.78:
Oil falls as global demand prospects weaken;
gold leaped to 1,827: Gold's on a record run.
The VIX soared 11.09
points to 42.67.
State of the Markets' Curt Berquist says, "Morning Brief: It's Ugly Out There" These were prophetic words as more and more bad news emerged today: Morgan Stanley Cuts Global Growth Forecasts, Signs of Bank Stress Cropping Up in Eurozone, Initial Jobless Claims Rise; Still Above 400K, CPI Surprises to Upside; More Than Double Expectations, Philly Fed Index Drops Off a Cliff; Lowest Level Since March 2009, Existing Home Sales Fall in July, and Let's Admit It; The Talking Heads Won't Help You. The only good news today was: US Leading Economic Index Rises in July. State of the Markets' technical talk, The Retest Phase Has Commenced, concludes that the markets are now retesting their August 9th lows, (1101 on the S&P 500). One other State of the Markets article is the continuation of the Underground Trader's What Makes a Market (Cont).
At Marketwatch, Jon Markman opines that ‘R’ is for recession, not recovery. And Kevin Marder offers up Waiting for market’s other shoe to drop. Another Marketwatch article is entitled: Markets deep in correction; some sectors in bear's lair. Also, there's In danger of a double dip (video)? Meanwhile, Mark Hulbert says that it's rare we're at a bottom when so many market observers are calling one. Then there's Investors remain calm (video). From a contrarian standpoint, that doesn't sound good.
Market futures are down about ˝ % again tonight just as they were last night.