Why I'm going LONG on the DOW, S&P and Qs on Monday! NOT! All of the pieces are falling into place:]
1. Consumer sentiment falls in August the first drop since May! There appears to be concern over oil prices and the cost of energy, leading to concerns about spending. If consumers curtail their buying, how can we shop our way out of the trade deficit and consumer dept?
quote.bloomberg.com
2. Bellwether Dell reports lower earnings. They sold more units than previously but sold them at lower prices! Hmmm, where have I heard this before? GM, Ford ala 'you pay what we pay?' Say it ain't so....."Ford Motor Co. is bracing for more restructuring actions, which may include plant closings and additional layoffs, as it tries to stem steep losses in its key North American vehicle operations."
biz.yahoo.com
Hmmm, even tech is starting to have problems making larger profits and has succumbed to price cuts to spur sales?
3. US trade deficit accelerated to 58.8B in June, the third widest deficit ever. Analysts say we need stronger growth overseas and a 'softer' dollar to help improve the deficit.
quote.bloomberg.com
But isn't that contrary to what has been happening?
>>> The huge U.S. trade deficit, a persistent pressure on the dollar over the past three years, has reemerged as a factor weighing more heavily on the U.S. currency since China revalued its yuan currency in July.<<<
secure.reuters.com
But wait, doesn't this chart show a softening dollar?
quotes.ino.com
4. More 'funny money' derivative type financing for homeowners! Get your Option Adjusted Rate Mortgages here! I mean really LOOK at THIS!
>>>Each month, you will receive an easy to read loan statement that lets you choose the payment amount that best suits your current financial needs.<<<
erate.com
Er, what "best" fits my financial needs is zero payment....ever!
But wait! That could result in "negative amortization," where unpaid interest is deferred and added to principal balance.
newsday.com
5. The now 'old' story of record levels of consumer debt!
usatoday.com
Of course we have the 'fun' of the new Bankruptcy reform due to take effect in October.....Called, get this!...Bankruptcy Abuse Prevention and Consumer Protection Act of 2005. Wait 'consumer protection' act? Protected from whom? Certainly NOT the banks!
abiworld.net
Tic-toc....
[BTW, is that a clock...or the timing device on an IED?]
H3
(humour cap setting 5B3Po) |
