Market Observations 12/29/06

In our top story tonight, the leader of al-Qaida in Iraq, Abu Musab al-Zarqawi, is STILL dead and someone else has taken his place.

Saddam Hussein will be hung sometime over this weekend, and someone else has taken his place.

On the year, SP500 +13.6%, NAZ +9.5%, DJIA +16.3%, RUT +17%, MID +9%. Best SP stock, Allegheny Technologies +153%, worst Whole Foods Market -39%.

Best DJIA stock GM +58%, 2nd ATT +45%, worst Intel -18%. Best Mid cap Polycom +104%, worst Westwood One -56%. Best Small cap Savient Pharmaceuticals +206%, worst Wellman -54%.

Best sector Telecom Services +34%, 2nd Utilities +32%, 3rd Energy +25%. Worst sector Healthcare +7%.

Best industry group Toys/Hobbies +83%, 2nd Steel +60%, 3rd Gambling +54%. Worst industry group, Online Retail -18%, 2nd Homebuilding -17%, 3rd Radio -15%.

This years global index winners, the Peru Lima General Index +187%, the Venezuela Stock Market +150%, and the Ho Chi Minh Index +142%.

Global index losers, Saudi Arabia's Tadawul All Share Index -53%, the United Arab Emirates' DFM general Index -44%, and Qatar's DSM 20 Index -35%.

Best commodity, Nickel futures +200%, Worst commodity Natural gas futures, -79%.

What the New Year brings with full participation and increased volume is anyone's guess.

A rapid pullback, descent and overdue correction or a boost to the 1440 SP500 and 830 RUT area continuing the rally until mid Jan when BOJ raises, affecting the carry trade?

Have a prosperous, healthy and safe New Year!!

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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