Market Observations 04/27/07
The markets mantra: "Ignore the man behind the curtain"... and go parabolic...
The DJIA up 19 of 21 days, something not seen since the 1920's...
Fukui like Benny, speaking out the side of his mouth...
The Bank of Japan kept rates on hold yesterday (0.5%) and weak price data reinforced views that imminent rate hikes are unlikely, although hawkish remarks by the central bank governor signalled that further increases are to come.
Ford chief sales analyst George Pipas: "U.S. auto industry sales have dropped far below expectations for April, This month is terrible," non seasonally adjusted numbers are off 10%.
Pipas said the spillover from weaker housing to other areas of the economy and rising gas prices appear to be affecting consumers.
A ditto of GM's Lutz's comments earlier in the week, but what do they know anyway?
Speaking of former #1 carmaker GM, their executives must be reading our nattering's on their salaries, CEO Rick Wagoner cut his base salary by 25% to $1.65M.
GM CFO Fritz Henderson and product chief Bob Lutz also took pay cuts of 15% each.
Now cut back on the ridiculous bonus scheme % and generate some positive cash flow while hiring in the US.... we can wish can't we?
Yesterday, "GDP and chain deflator, is the drop priced in? Will it be bigger than expected?" Bad news, GDP drop and chain deflator both greater than expected.
Yet more "pretzel logic" as Honeywell, 3M, GE & Microsoft kept the indices afloat. Euro hitting an all time high vs Yen & $.
All indices at all time or multi year highs cept SOXX & XAU. DJIA closing above 13K, NDX hiting 1896; SP500 hitting 1495 perhaps headed for 1520 then 1535.
Go to www.prophet.net, pull up a javachart..
look at a SP500 chart 2000 to present, compare with Aug 1929 through Mar 1937, then look forward through Mar 1942 to see what could be coming.
Often wrong, but never in doubt, this is the Nattering Naybob and your not!!!
The DJIA up 19 of 21 days, something not seen since the 1920's...
Fukui like Benny, speaking out the side of his mouth...
The Bank of Japan kept rates on hold yesterday (0.5%) and weak price data reinforced views that imminent rate hikes are unlikely, although hawkish remarks by the central bank governor signalled that further increases are to come.
Ford chief sales analyst George Pipas: "U.S. auto industry sales have dropped far below expectations for April, This month is terrible," non seasonally adjusted numbers are off 10%.
Pipas said the spillover from weaker housing to other areas of the economy and rising gas prices appear to be affecting consumers.
A ditto of GM's Lutz's comments earlier in the week, but what do they know anyway?
Speaking of former #1 carmaker GM, their executives must be reading our nattering's on their salaries, CEO Rick Wagoner cut his base salary by 25% to $1.65M.
GM CFO Fritz Henderson and product chief Bob Lutz also took pay cuts of 15% each.
Now cut back on the ridiculous bonus scheme % and generate some positive cash flow while hiring in the US.... we can wish can't we?
Yesterday, "GDP and chain deflator, is the drop priced in? Will it be bigger than expected?" Bad news, GDP drop and chain deflator both greater than expected.
Yet more "pretzel logic" as Honeywell, 3M, GE & Microsoft kept the indices afloat. Euro hitting an all time high vs Yen & $.
All indices at all time or multi year highs cept SOXX & XAU. DJIA closing above 13K, NDX hiting 1896; SP500 hitting 1495 perhaps headed for 1520 then 1535.
Go to www.prophet.net, pull up a javachart..
look at a SP500 chart 2000 to present, compare with Aug 1929 through Mar 1937, then look forward through Mar 1942 to see what could be coming.
Often wrong, but never in doubt, this is the Nattering Naybob and your not!!!
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