The rain has returned. This morning I woke up to a world just bit darker than usual, and a wetter one to boot. I fed in the rain …
Coming in from out, the smell of just-brewed coffee invited me back to warmth and dryness. I poured my cup, lightened it just a bit with half-and-half, and headed for my laptop …
I drank my coffee, watched the birds, reviewed the headlines, and listened to the strong patter of consistent rain on the roof …
Here I am now. It is still dark and wet outside, but that reality has not deterred the birds that fill the feeder outside the window every morning. Wet, dark, and slightly cold cannot keep our feathered friends from their appointed feeding time …
I guess the market had its fill of retreat, at least for this morning. Up and away it goes, again. The S&P 500 topped a 100% return from the lows of March 2009. Dell’s earnings report has sent technology on another run. Even though it is darker than normal this morning, my optimistic eye can just barely see 3,000 for the NASDAQ. It is coming …
Along with the persistent bad news is some good news on the housing front. Commercial real estate is selling again, and the prices in some areas are reaching ever higher. The remodeling aspect of the housing/construction market is beginning to take off. Indicators are pointing to resurgence. Residential real estate is not doing as well, but signs are that the problems are abating, and as people get back to work, the rate of improvement will increase …
Ben Bernanke got a wakeup call this morning. Core inflation jumped more than it has since October of 2008. PPI is up. Food is up, and Energy is up. Wholesale prices are rising, as the cost of raw materials is rising. Thank you very much, QE2. Pay attention now as this will add a brick or two to the wall of worry the market likes to climb. The chatter will be: Will Bernanke flip the switch in interest rates, and when will he begin the highly anticipated withdrawal of liquidity from the system …?
Oil inventories are up again, the VIX is still down and gold is retreating slightly. Materials and energy stock are leading the market today. In the background, the panel discussion is about inflation. The voices are alive. The bear and the bull are fighting. Is it really that bad …?
Oh well … The rain is still falling, but it is not as dark as it was when I woke up earlier, and I am dry, but my coffee is gone. Things are fine, more or less, here in Wonderland. The big indices are hitting multi-year highs.
Trade in the day – Invest in your life
