Daily Investment Interpretations

March 23, 2012

2012-3-23: (Friday Night): The market indices ended higher today: U.S. stocks rise; S&P 500 has worst week of year; S&P, Dow wrap up a losing week. The NASDAQ Composite caught a downdraft of 4.6 (0.15% to end at 3,067.92. The Dow went down 34.59 points (0.37% to 13,080.73; the S&P 500 advanced 4.33 points (0.31%) to settle at 1,397.11. Oil jumped to 106.75: Oil climbs as traders gauge demand, supply outlook; gold ended at 1661: Back and forth, but gold's the week's only advancer. The VIX rose 0.75 to 14.82.
    The stock market has another week to effect end-of-quarter window-dressing. After the end of next week, markets could well fall back as current end-of-quarter purchases dry up (see
Are We There Yet?, below). See also: Hulbert: That long-awaited correction's at hand.
    Europe stocks see biggest weekly fall of 2012 
    Markets nervous as Monti presses Italy reforms  

    Marketwatch says: 
    Thomas Kee writes The best time to use the VIX as a hedge
    Interest rates threaten housing recovery 
    Cellulosic ethanol: Fuel for the future (video)?
    Red alert for gold stock investors
    Chuck Jaffe tells us: Meet investors’ No. 1 money watchdog  And that No. 1 watchdog is you. Mr. Jaffe warns, as Peter Farrell has warned, that the U. S. financial system is totally set up for the benefit of the investment banks, and we should be very careful with our money whenever we deal with financial representatives or institutions. They get their money first, whether their advice causes us to make money or lose money.     
   . 
    A better way to allocate  "The market and the world are much more complex than when your father was investing, requiring a new look at an old investment idea."
    
    State of the Markets articles include:   
    Technical Talk: It's a Consolidation Phase  
    Are We There Yet?  "Like children feeling trapped in the backseat of a car, underinvested fund managers have apparently been asking the one question that parents universally dread, "Are we there yet?" (To the correction, ... Read More »"
    Red Alert On So-Called Volatility Products  "And we do mean “red”, as in losses - big losses! Dave M. wrote on Wednesday in “What the Heck Is Happening with the VIX and the VXX?”about the issues/anomalies showing up with some volatility-based products in the market, which have not been tracking the VIX as they theoretically should. We just wanted to issue a warning about the latest absurdity in this situation. The ETN, “TVIX”, which purports to be a double-leveraged take on the VIX has basically gone haywire and is not to be trusted, nor are any of the volatility-based products at the moment. Let’s take a brief look at the action yesterday for several products: Product/Description ... Read More »"
    Video Update: Weekly Market Summary  "Our latest video segment takes a look at the week that was. Stocks fell on the week for only the second time this year as concerns about global growth caused traders to lock in some nice gains... ... Read More »"
   IEA Sees No Supply Disruption and No Need to Tap Strategic Petroleum Reserves
    Bond Yields Rising in Spain Again, Is Crisis Really Over?

    My naive guess would be that the indices will rise next week into the end of the quarter.