Eric Fry, editor of Daily Reckoning in another as-yet-unknown location, somewhere in
New Orleans...
- The stock market fought its way to a split decision
yesterday, as the Dow gained 12 points to 9,787 and the
Nasdaq slipped 4 points to 1,933. Earlier in the trading
session, stocks had jumped to much higher levels, as if
celebrating the news that the U.S. economy boomed in the
third quarter.
- According to the government's statisticians, U.S. GDP
advanced at a breathtaking 7.2% annual rate last quarter.
Does anyone really believe this number? If the economy is
growing at such a rapid clip, why are so many Americans
filing unemployment claims, and why are so many companies
struggling to generate profit growth?
- On the other hand, the restaurants, bars and casinos down
here in New Orleans aren't lacking for customers... Yes,
it's true, on Tuesday morning, your New York editor sprung
from his usual perch on Wall Street and headed south to the
"Big Easy" for the New Orleans Investment Conference.
Yesterday he addressed the conference-goers on three
separate occasions, dispensing the same sort of dubious
wisdom that he dispenses regularly in the Daily Reckoning.
- He predicted that the dollar would be "the first - or
second - best short sale in the U.S. financial markets,"
and suggested, therefore, that "gold may be a good thing to
own."
- Later in the day, he urged investors to continue scouting
for opportunities to invest in China, and suggested some
specific investment ideas. He also predicted that the U.S.
financial sector is close to a peak, and that financial
stocks are better sold than bought. But we have shared
these thoughts with the Daily Reckoning faithful on many
occasions.
....cont'd...because SI has problems and the whole item won't be accepted on one post.
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