Market Soapbox 06/05/06

Resistance: DJIA 11775; SP500 1335; Nasdaq 2380; NDX 1750
Support: DJIA 10850; SP500 1250; Nasdaq 2150; NDX 1550

In our top story tonight, Generalissimo Francisco Franco is STILL dead.

Homebuilder Standard Pacific reported 41% lower YOY orders, stock punished 10%. Other homeys that got pounded, Hovanian -5%, Pulte-4.5%. REIT's were the only thing that actually caught a bid today.

YIELD CURVE INVERSION: Bonds DOWN with the 30 yr yield rising @ 5.10%; 10 yr @ 5.02; 5 yr @ 4.94; 2yr @ 4.97`; 6 mo @ 5.02. 2yr above 10 yr 12/27 - 03/07 & 03/20 - 3/29. 2yr above 30 yr 02/09 - 03/07 & 03/21 - 3/29. 6mo above 10yr 06/02.

MON, a broadbased triple digit selloff on very low volume with absolutely horrific internals. A real burial in the last 2 hours of trading DJIA-199. This week DJIA -199, since 09/19/05 DJIA +408.

Indexes UP: None DOWN: All BIG Sectors UP: None DOWN: All BIG

Overseas: DAX , CAC, FTSE DOWN, Hang Seng UP & Nikkei 225 DOWN.

Dollar UP vs. Euro 1.2923 & vs. Yen 112.12, XAU DOWN & gold UP @ 645.9, XOI DOWN & crude UP @ 72.60, CRB commodities index DOWN @ 348.78. Market Observations in another post.

Keep it tween da ditches, we take it day by day and keep our eyes peeled to the sky, because it could be a name brand that pancakes us. Just my opinion, I could be wrong, this is The Nattering Naybob and your NOT!!!

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