12/9/10…boring!

(Technical problems prevented this from being posted yesterday. Sorry, TB)

…that is what yesterday was after the defeat Tuesday following yet another ‘apparent’ breakout. Does anyone really know what is going on? Does anyone really care? Those who jumped on board Tuesday morning however are not happy campers and are now ‘trapped longs’ meaning unless we have some really positive news they will sell on a pop.

The Bloomberg stories on polls showing that more than 50% polled nationwide want to at least rein in the Fed if not abolish it altogether…wow…that is not only a powerful statement but shows that more than 50% of Americans are ignorant of what happened…unless their ire is with the former Fed Chairman for allowing us to get there! Bernanke was less than convincing on 60 Minutes Sunday when he said there was little they could do…well…Paul Volcker would have done something and has been trying to ever since…while being battered by the Wall Street perps. The other poll shows more than half of those polled say they are worse off under Obama…again…a cause and effect when the country has been held hostage by the GOP – which is not to say that Obama’s showing more interest in healthcare (perceived or real) than jobs was not what they wanted to see. These are disturbing polls and those in Congress that feel the same way will feel empowered…or threatened if they don’t buy that line of thinking. A shame.

The end result for TB is more loathing and concern that the recovery will not be as strong as is now thought and we will merely continue to ‘muddle through.’ Certainly those in the bottom tiers will not do well. The Tax Foundation sent out a memo on the extention of the tax benefit showing the average (mean or median???) American family will save $3,000…ranging from $77,000 for the wealthiest to $386 at the other end of the spectrum – at least those on the bottom will still be able to collect unemployment!

As for yesterday’s stock market action, volume was another weak 1.1B shares following the 1.69B on the spike and fail of Tuesday. New 52 week highs were again strong at 296 while new lows were stable at 63. Advance/declines were negative 1.5:1 and 1.9:1 on the NYSE and AMEX and even on Nasdaq. Breadth was about 1.4x positive except on the AMEX where it was 3x negative. Not very convincing…of anything.

Meanwhile, Gold plunged $26 two days after hitting that record high of $1432.50. Crude did likewise showing once again how much speculation is driving both commodities. It’s a jungle out there…

Let’s see what today brings…

. . . - - - . . . . . . - - - . . . (S.O.S.)

TB would like to call your attention to a new jewelry concept that may do some good. TB thinks if you visit the site you will see that it is an interesting concept that promotes charitable giving. They are selling jewelry with charms from several charities with more being added, and pledge to give 50% of the net profits to those charities. Not suggesting you buy but perhaps check out the website and see what you think of the concept…hey, it beats all those inscribed rubber bands.  http://www.altruette.com/building-bracelet.html

Have a great day!

TB

Trader Bill thinks it is clear to anyone reading these missives that they are merely commentaries...as he sees it...and do not necessarily reflect the views of anyone other than his own. Information is gathered from sources he has found reliable, but no guarantees of accuracy are implied. These are merely observations of events in the marketplace offering in an attempt to offer a non-mainstream viewpoint. Copyright TBD Capital LLC, December 9, 2010.

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