Week Review, Whats Next...

By: Stock Barometer | Sun, Mar 11, 2007
Print Email

3/11/2007 10:51:29 PM

The anticipated Friday employment report turned out to be a non-event, after all the dust settled. The number came in at 97,000 -- close to the consensus forecast - and the market initially rallied in goldilocks mode, but it gave it back. The Dow was basically flat (up 15 points), and the NASDAQ and S&P were both flat.

The Dow gained 162 points on the week, the NASDAQ + 19 points, the S&P + 15 points, all on low volume - which tends to make that very small upward bias for the week suspect (especially considering the massive volume we saw in the sell-off).

As analysts sifted through the Friday job numbers, their interpretation turned from positive to neutral/negative. For example, the rise in jobs was the smallest in over two years. Plus, the lower unemployment rating we keep hearing the administration bragging about isn't an accurate comparison to past periods, since it reflects a much lower labor force than earlier periods - many potential job seekers have simply given up or have just been "reclassified" to non-labor force humans so they are no longer considered part of the job pool. Many market watchers have been crying foul at this ongoing seeming data manipulation and the false impression it gives about economic health.

Also in the numbers and of concern is a large decline in factory jobs and evidence of wage inflation.

We can expect volatility in the week ahead as the markets wait for some kind of catalyst to nudge it in either direction. I continue to have a bearish bias and think we will see more selling pressure. As far as upcoming data we should keep an eye on: The CPI, PPI and Fed meeting.

As always, please email me with any questions, suggestions or comments: dynamictrading@stockbarometer.com.

 


 

Stock Barometer

Author: Stock Barometer

www.stockbarometer.com

Stock Barometer is completely independent. We have never and will not ever accept compensation from any company whose stock we recommend.

Our goal is to make you money. We offer you the tools and information to do so and leave it to you, the individual investor, to apply them in the best way possible.

Important Disclosure: Futures, Options, Mutual Fund, ETF and Equity trading have large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in these markets. Don't trade with money you can't afford to lose. This is neither a solicitation nor an offer to buy/sell Futures, Options, Mutual Funds or Equities. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this Web site. The past performance of any trading system or methodology is not necessarily indicative of future results.

Performance results are hypothetical. Hypothetical or simulated performance results have certain inherent limitations. Unlike an actual performance record, simulated results do not represent actual trading. Also, since the trades have not actually been executed, the results may have under- or over-compensated for the impact, if any, of certain market factors, such as a lack of liquidity. Simulated trading programs in general are also subject to the fact that they are designed with the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown.

Investment Research Group and all individuals affiliated with Investment Research Group assume no responsibilities for your trading and investment results.

Investment Research Group (IRG), as a publisher of a financial newsletter of general and regular circulation, cannot tender individual investment advice. Only a registered broker or investment adviser may advise you individually on the suitability and performance of your portfolio or specific investments.

In making any investment decision, you will rely solely on your own review and examination of the fact and records relating to such investments. Past performance of our recommendations is not an indication of future performance. The publisher shall have no liability of whatever nature in respect of any claims, damages, loss, or expense arising out of or in connection with the reliance by you on the contents of our Web site, any promotion, published material, alert, or update.

For a complete understanding of the risks associated with trading, see our Risk Disclosure.

Copyright © 2004-2014 Investment Research Group, Inc.
d/b/a www.Stockbarometer.com. All Rights Reserved.

All Images, XHTML Renderings, and Source Code Copyright © Safehaven.com

SEARCH





TRUE MONEY SUPPLY

Source: The Contrarian Take http://blogs.forbes.com/michaelpollaro/
austrian-money-supply/