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 Add Market Clues Blog to My Yahoo!Links: MyClues Home Page Thermopower, a breakthrough alternative energy, carbon-free and completely clean RSS Feed Market Clues Subscription Information Page Time & Cycles TFNN - Tom O'Brien T Theory - Terry Laundry Elliott Wave International's Market Report My Yahoo! Google News "The best way to destroy the capitalist system is to debauch the currency. By a continuing process of inflation, governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens." ---John Maynard Keynes "If the American people ever allow private banks to control the issue of their money, first by inflation and then by deflation, the banks and corporations that will grow up around [the banks], will deprive the people of their property until their children will wake up homeless on the continent their fathers conquered." ---Thomas Jefferson "I place economy among the first and most important republican virtues, and public debt as the greatest of the dangers to be feared. To preserve our independence, we must not let our rulers load us with perpetual debt." ---Thomas Jefferson
"I sincerely believe, with you, that banking establishments are more
dangerous than standing armies; and that the principle of spending money to be
paid by posterity, under the name of funding, is but swindling futurity on a large scale."
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Tuesday, March 31, 2009
Window Dressing Undone
The market had a nice bounce in progress on the last day of the quarter, but a ton of bricks started hitting it as the sellers returned in force Tuesday afternoon. The market closed mostly up, but that was more an arithmetic accident than anything else:
Change From 20 Jan 2009 and 30 Mar 2009 To 31 Mar 2009
| Security | Percentage Change From 20 Jan 2009 | Percentage Change From 30 Mar 2009 | Change in Dow Industrials Points |
|---|---|---|---|
| Dow Industrials (index) | -4.28% | +1.16% | +86.90 |
| DIAMONDS TRUST SER 1 (DIA) | -4.50% | +0.78% | +58.98 |
| ULTRA DOW30 PROSHRS (DDM) | -10.89% | +1.92% | +144.65 |
| PT ULTRSHRT DOW30 PS (DXD) | -1.34% | -1.99% | -149.51 |
| S&P 500 (index) | -1.11% | +1.11% | +83.29 |
| S& P DEP RECEIPTS (SPY) | -1.30% | +0.93% | +69.69 |
| ULTRA S& P500 PROSHRS (SSO) | -5.60% | +1.81% | +135.85 |
| PT ULTRSHRT SP500 PS (SDS) | -8.72% | -1.53% | -114.89 |
| NYSE Composite (index) | -1.56% | +1.63% | +122.73 |
| ISHARES NYSE CMP IDX (NYC) | -1.27% | +1.76% | +132.32 |
| S&P SmallCap 600 (index) | -3.62% | +1.65% | +124.09 |
| PROSH ULTRA SMALLCAP (SAA) | -13.02% | +1.19% | +89.67 |
| SHORT SMALLCAP600 PR (SBB) | -1.40% | -1.66% | -124.80 |
| ULTRASHORT SMALLCAP6 (SDD) | -7.47% | -2.97% | -223.41 |
| Russell 2000 (index) | -2.51% | +1.64% | +123.15 |
| ISHARE RUS 2000 INDX (IWM) | -2.95% | +0.94% | +70.42 |
| ULTRA RUSSELL2000 PR (UWM) | -11.54% | +1.50% | +113.20 |
| ULTRASHORT RUSSELL20 (TWM) | -11.25% | -2.15% | -162.00 |
| NASDAQ-100 (index) | +8.18% | +0.72% | +54.22 |
| POWERSHARES QQQ TR 1 (QQQQ) | +8.44% | +0.86% | +65.06 |
| ULTRA QQQ PROSHARES (QLD) | +13.73% | +2.27% | +170.89 |
| PT UTLRSHRT QQQ PS (QID) | -23.16% | -1.84% | -138.54 |
| S&P MidCap 400 (index) | +0.66% | +1.58% | +118.59 |
| ISHARE SP MC 400 INX (IJH) | +0.54% | +1.06% | +79.66 |
| ULTRA MC400 PROSHRS (MVV) | -3.87% | +2.14% | +160.71 |
| PT ULTRSHR MC400 PS (MZZ) | -14.43% | -2.60% | -195.36 |
| GREENHAVEN CONT IDX (GCC) | +3.20% | +1.67% | +125.43 |
| Amex Gold (index) | +19.85% | +1.57% | +118.35 |
| MKT VECT GOLD MNRS (GDX) | +19.43% | +1.32% | +99.19 |
| STREETTRACKS GOLD TR (GLD) | +6.81% | +0.33% | +25.08 |
| DB GOLD DBL SH ETN (DZZ) | -13.23% | 0.00% | 0.00 |
| DB GOLD DBL LG ETN (DGP) | +13.63% | +0.56% | +42.11 |
| Semiconductor Sector (index) | +15.99% | +0.64% | +47.86 |
| ULTRA SEMICONDUCTORS (USD) | +29.40% | +1.29% | +97.03 |
| ULTRASHORT SEMICONDU (SSG) | -39.39% | -1.45% | -109.26 |
| ISHARE DJ FIN SC INX (IYF) | +4.74% | +4.87% | +366.46 |
| ISHARES LEHMAN 20 YR (TLT) | -7.50% | +0.71% | +53.75 |
| ISHARESLEHMAN 7-10YR (IEF) | -1.15% | +0.18% | +13.26 |
| ISHARES LEH AGG FD (AGG) | -1.54% | +0.52% | +38.75 |
| ISHARES GS $ INVESTO (LQD) | -5.97% | +0.82% | +62.05 |
| ISHARES LEHMAN 1-3YR (SHY) | -0.28% | +0.14% | +10.72 |
| ProShares ETFs | |||
| PROSHARES ULTRASHORT LEHMAN 7-10 (PST) | -1.57% | -0.63% | -47.41 |
| PROSHARES ULTRASHORT LEHMAN 20YR (TBT) | +8.21% | -1.40% | -105.37 |
| SHORT QQQ PROSHARES (PSQ) | -11.14% | -1.01% | -75.87 |
| SHRT DOW30 PROSHARES (DOG) | +0.88% | -0.78% | -58.95 |
| SHRT S& P500 PROSHRS (SH) | -2.54% | -0.55% | -41.11 |
| SHRT MC400 PROSHARES (MYY) | -5.58% | -1.38% | -103.85 |
| SHORT SMALLCAP600 PR (SBB) | -1.40% | -1.66% | -124.80 |
| SHORT RUSSELL2000 PR (RWM) | -3.41% | -1.01% | -75.81 |
| PT UTLRSHRT QQQ PS (QID) | -23.16% | -1.84% | -138.54 |
| PT ULTRSHRT DOW30 PS (DXD) | -1.34% | -1.99% | -149.51 |
| PT ULTRSHRT SP500 PS (SDS) | -8.72% | -1.53% | -114.89 |
| PT ULTRSHR MC400 PS (MZZ) | -14.43% | -2.60% | -195.36 |
| ULTRASHORT SMALLCAP6 (SDD) | -7.47% | -2.97% | -223.41 |
| ULTRASHORT RUSSELL20 (TWM) | -11.25% | -2.15% | -162.00 |
| PST ULSHT RSL1K VALU (SJF) | -6.20% | -2.36% | -177.50 |
| PST ULSHT RSL1K GR (SFK) | -15.15% | -3.17% | -238.32 |
| PST ULSHT RSL MC VAL (SJL) | -9.97% | -3.34% | -251.35 |
| PST ULSHT RSL MC GR (SDK) | -21.22% | -1.72% | -129.03 |
| PST ULTSHT RSL2K VAL (SJH) | -7.12% | -2.87% | -216.02 |
| PST ULSHT RSL2K GR (SKK) | -23.42% | -2.59% | -194.87 |
| ULTRASHORT BASIC MAT (SMN) | -22.85% | -0.15% | -11.04 |
| ULTRASHORT CONSUMER (SZK) | +6.71% | +1.08% | +81.09 |
| ULTRASHORT CONSUMER (SCC) | -12.28% | -1.27% | -95.22 |
| ULTRASHORT FINANCIAL (SKF) | -50.78% | -10.79% | -811.47 |
| ULTRASHORT HEALTH CA (RXD) | +0.50% | -0.66% | -50.00 |
| ULTRASHORT INDUSTRIA (SIJ) | +3.90% | -1.84% | -138.59 |
| ULTRASHORT OIL & GAS (DUG) | -5.37% | +1.93% | +144.99 |
| ULTRASHORT REAL ESTA (SRS) | -25.89% | -13.37% | -1006.06 |
| ULTRASHORT SEMICONDU (SSG) | -39.39% | -1.45% | -109.26 |
| ULTRASHORT TECHNOLOG (REW) | -29.28% | -3.66% | -275.48 |
| ULTRASHORT UTILITIES (SDP) | +1.62% | -4.03% | -302.81 |
| PROSHARES SHR MSCI E (EUM) | -18.92% | -2.04% | -153.53 |
| PROSHARES SHORT MSCI (EFZ) | -5.12% | -2.94% | -221.49 |
| PROSHARES ULTRASHORT (EFU) | -13.82% | -5.74% | -431.90 |
| PROSHARES UTLRASHORT (EEV) | -39.05% | -4.72% | -354.94 |
| PROSHARES US MSCI JP (EWV) | +1.80% | +0.13% | +9.62 |
| PROSHARES ULTRASHORT (FXP) | -46.45% | -4.70% | -353.69 |
| ULTRA QQQ PROSHARES (QLD) | +13.73% | +2.27% | +170.89 |
| ULTRA DOW30 PROSHRS (DDM) | -10.89% | +1.92% | +144.65 |
| ULTRA S& P500 PROSHRS (SSO) | -5.60% | +1.81% | +135.85 |
| ULTRA MC400 PROSHRS (MVV) | -3.87% | +2.14% | +160.71 |
| PROSH ULTRA SMALLCAP (SAA) | -13.02% | +1.19% | +89.67 |
| ULTRA RUSSELL2000 PR (UWM) | -11.54% | +1.50% | +113.20 |
| PST ULT RUS1000 VAL (UVG) | -12.19% | +3.21% | +241.59 |
| PST ULT RSL1000 GR (UKF) | +2.02% | +1.60% | +120.20 |
| PST ULT RSL MC VALU (UVU) | -14.49% | +4.05% | +304.36 |
| PST ULT RSL MC GR PS (UKW) | +3.97% | +3.24% | +243.50 |
| PST ULT RSL2000 VALU (UVT) | -16.37% | +3.95% | +297.40 |
| PST ULT RSL2000 GR (UKK) | -4.25% | +1.24% | +93.64 |
| ULTRA BASIC MATERIAL (UYM) | +0.59% | +1.53% | +114.74 |
| ULTRA CONSUMER GOODS (UGE) | -12.76% | -0.25% | -19.01 |
| ULTRA CONSUMER SERVI (UCC) | +0.40% | +1.74% | +131.20 |
| ULTRA FINANCIALS PRO (UYG) | -4.40% | +11.54% | +867.93 |
| ULTRA HEALTH CARE PR (RXL) | -7.13% | +1.95% | +146.66 |
| ULTRA INDUSTRIALS PR (UXI) | -22.62% | +2.14% | +161.23 |
| ULTRA OIL & GAS PROS (DIG) | -12.41% | -1.74% | -130.88 |
| ULTRA REAL ESTATE PR (URE) | -38.44% | +11.36% | +854.77 |
| ULTRA SEMICONDUCTORS (USD) | +29.40% | +1.29% | +97.03 |
| ULTRA TECHNOLOGY PRO (ROM) | +19.97% | +3.22% | +241.87 |
| ULTRA UTILITIES PROS (UPW) | -19.43% | +2.64% | +198.75 |
| Other ETFs | |||
| PWRSHRS NDQ INTERNET (PNQI) | +22.01% | +2.03% | +152.68 |
| POWERSHARES DB BASE (BOM) | -21.54% | -6.43% | -483.87 |
| POWERSHARES DB BASE (BDD) | +20.35% | +5.91% | +444.71 |
| POWERSHARES DB BASE (BDG) | +9.08% | +3.35% | +252.20 |
| POWERSHARES DB CRUDE (DTO) | -6.67% | -2.73% | -205.46 |
| POWERSHARES DB CRUDE (SZO) | -3.96% | -1.67% | -125.42 |
| POWERSHARES DB CRUDE (DXO) | +11.69% | +1.47% | +110.21 |
| POWERSHARES DB CRUDE (OLO) | +5.45% | +1.15% | +86.46 |
| 300% Leverage ETFs | |||
| DIREXION LARGE CAP BULL 3X SHARE (BGU) | -12.83% | +2.31% | +173.51 |
| DIREXION LARGE CAP BEAR 3X SHARE (BGZ) | -18.80% | -2.27% | -170.88 |
| DIREXION SMALL CAP BULL 3X SHARE (TNA) | -22.60% | +2.12% | +159.29 |
| DIREXION SMALL CAP BEAR 3X SHARE (TZA) | -22.78% | -2.24% | -168.71 |
| DIREXION ENERGY BULL 3X SHARES (ERX) | -24.60% | -2.72% | -204.85 |
| DIREXION ENERGY BEAR 3X SHARES (ERY) | -14.16% | +2.53% | +190.25 |
| DIREXION FINANCIAL BULL 3X SHARE (FAS) | -27.92% | +13.40% | +1008.11 |
| DIREXION FINANCIAL BEAR 3X SHARE (FAZ) | -76.53% | -16.03% | -1205.84 |
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· Quarter-Hourly Chart Comments
· Detailed Comments . . . .
Monday, March 30, 2009
A Malignancy in the Body Politic
From The Atlantic, May 2009:
The crash has laid bare many unpleasant truths about the United States. One of the most alarming, says a former chief economist of the International Monetary Fund, is that the finance industry has effectively captured our government---a state of affairs that more typically describes emerging markets, and is at the center of many emerging-market crises. If the IMF's staff could speak freely about the U.S., it would tell us what it tells all countries in this situation: recovery will fail unless we break the financial oligarchy that is blocking essential reform. And if we are to prevent a true depression, we're running out of time.
Simon Johnson, a professor at MIT's Sloan School of Management, was the chief economist at the International Monetary Fund during 2007 and 2008. He compares America to the banana republics the IMF is used to bailing out of their financial messes in an article in The Atlantic. It's not a pretty picture, but it does shed light on what the real problem is---the corruption that has spread like a malignancy throughout the government of the United States. The solution to the problem is as straightforward as surgical removal of malignancies throughout the body politic. Those malignancies, which usually take the form of persons known as "bankers," are willing to fight for their right to steal from the body, just like the cancer they are. Johnson explains in the full article that the only real solution for the economy can come only after those corrupt entities are removed from their entanglement with politicians:
What the IMF Would Tell the United States, If It Could
Goldman Sachs' former chief lobbyist is now Chief of Staff in Secretary Geithner's Treasury Department. The cancer extends right to the top of the United States Treasury.
Without the buying pressure from illegal Window Dressing, which ended at the close last Thursday, this market has been crumbling lower:
Change From 20 Jan 2009 and 27 Mar 2009 To 30 Mar 2009
| Security | Percentage Change From 20 Jan 2009 | Percentage Change From 27 Mar 2009 | Change in Dow Industrials Points |
|---|---|---|---|
| Dow Industrials (index) | -5.37% | -3.27% | -254.16 |
| DIAMONDS TRUST SER 1 (DIA) | -5.24% | -3.29% | -255.84 |
| ULTRA DOW30 PROSHRS (DDM) | -12.57% | -6.50% | -505.28 |
| PT ULTRSHRT DOW30 PS (DXD) | +0.66% | +6.53% | +508.12 |
| S&P 500 (index) | -2.20% | -3.62% | -281.14 |
| S& P DEP RECEIPTS (SPY) | -2.21% | -3.46% | -268.70 |
| ULTRA S& P500 PROSHRS (SSO) | -7.27% | -6.92% | -537.83 |
| PT ULTRSHRT SP500 PS (SDS) | -7.31% | +7.13% | +554.48 |
| NYSE Composite (index) | -3.14% | -3.88% | -301.47 |
| ISHARES NYSE CMP IDX (NYC) | -2.98% | -3.96% | -307.65 |
| S&P SmallCap 600 (index) | -5.18% | -3.05% | -237.04 |
| PROSH ULTRA SMALLCAP (SAA) | -14.04% | -5.25% | -408.18 |
| SHORT SMALLCAP600 PR (SBB) | +0.26% | +2.85% | +222.00 |
| ULTRASHORT SMALLCAP6 (SDD) | -4.64% | +5.89% | +457.87 |
| Russell 2000 (index) | -4.07% | -3.06% | -238.10 |
| ISHARE RUS 2000 INDX (IWM) | -3.85% | -2.87% | -223.01 |
| ULTRA RUSSELL2000 PR (UWM) | -12.85% | -5.74% | -446.72 |
| ULTRASHORT RUSSELL20 (TWM) | -9.30% | +5.74% | +446.74 |
| NASDAQ-100 (index) | +7.41% | -2.62% | -204.00 |
| POWERSHARES QQQ TR 1 (QQQQ) | +7.51% | -2.47% | -191.76 |
| ULTRA QQQ PROSHARES (QLD) | +11.20% | -5.07% | -394.12 |
| PT UTLRSHRT QQQ PS (QID) | -21.72% | +4.97% | +386.58 |
| S&P MidCap 400 (index) | -0.90% | -3.49% | -271.56 |
| ISHARE SP MC 400 INX (IJH) | -0.52% | -3.16% | -245.50 |
| ULTRA MC400 PROSHRS (MVV) | -5.89% | -6.84% | -532.25 |
| PT ULTRSHR MC400 PS (MZZ) | -12.15% | +6.73% | +523.08 |
| GREENHAVEN CONT IDX (GCC) | +1.50% | -1.91% | -148.39 |
| Amex Gold (index) | +17.99% | -1.62% | -125.64 |
| MKT VECT GOLD MNRS (GDX) | +17.88% | -1.62% | -126.10 |
| STREETTRACKS GOLD TR (GLD) | +6.46% | -0.78% | -60.88 |
| DB GOLD DBL SH ETN (DZZ) | -13.23% | +1.17% | +90.66 |
| DB GOLD DBL LG ETN (DGP) | +13.00% | -1.85% | -143.72 |
| Semiconductor Sector (index) | +15.26% | -4.42% | -344.00 |
| ULTRA SEMICONDUCTORS (USD) | +27.75% | -8.96% | -696.88 |
| ULTRASHORT SEMICONDU (SSG) | -38.50% | +8.37% | +650.73 |
| ISHARE DJ FIN SC INX (IYF) | -0.13% | -7.96% | -619.34 |
| ISHARES LEHMAN 20 YR (TLT) | -8.16% | +0.38% | +29.75 |
| ISHARESLEHMAN 7-10YR (IEF) | -1.32% | +0.43% | +33.21 |
| ISHARES LEH AGG FD (AGG) | -2.05% | +0.47% | +36.37 |
| ISHARES GS $ INVESTO (LQD) | -6.74% | -0.07% | -5.83 |
| ISHARES LEHMAN 1-3YR (SHY) | -0.43% | +0.10% | +7.39 |
| ProShares ETFs | |||
| PROSHARES ULTRASHORT LEHMAN 7-10 (PST) | -0.95% | -0.85% | -66.26 |
| PROSHARES ULTRASHORT LEHMAN 20YR (TBT) | +9.74% | -0.72% | -55.82 |
| SHORT QQQ PROSHARES (PSQ) | -10.23% | +2.45% | +190.56 |
| SHRT DOW30 PROSHARES (DOG) | +1.67% | +3.32% | +258.16 |
| SHRT S& P500 PROSHRS (SH) | -2.01% | +3.57% | +277.39 |
| SHRT MC400 PROSHARES (MYY) | -4.26% | +3.33% | +258.83 |
| SHORT SMALLCAP600 PR (SBB) | +0.26% | +2.85% | +222.00 |
| SHORT RUSSELL2000 PR (RWM) | -2.42% | +2.77% | +215.15 |
| PT UTLRSHRT QQQ PS (QID) | -21.72% | +4.97% | +386.58 |
| PT ULTRSHRT DOW30 PS (DXD) | +0.66% | +6.53% | +508.12 |
| PT ULTRSHRT SP500 PS (SDS) | -7.31% | +7.13% | +554.48 |
| PT ULTRSHR MC400 PS (MZZ) | -12.15% | +6.73% | +523.08 |
| ULTRASHORT SMALLCAP6 (SDD) | -4.64% | +5.89% | +457.87 |
| ULTRASHORT RUSSELL20 (TWM) | -9.30% | +5.74% | +446.74 |
| PST ULSHT RSL1K VALU (SJF) | -3.93% | +8.41% | +654.21 |
| PST ULSHT RSL1K GR (SFK) | -12.37% | +5.24% | +407.28 |
| PST ULSHT RSL MC VAL (SJL) | -6.86% | +8.09% | +628.89 |
| PST ULSHT RSL MC GR (SDK) | -19.84% | +6.03% | +468.70 |
| PST ULTSHT RSL2K VAL (SJH) | -4.38% | +7.03% | +546.47 |
| PST ULSHT RSL2K GR (SKK) | -21.38% | +5.45% | +423.48 |
| ULTRASHORT BASIC MAT (SMN) | -22.74% | +8.71% | +677.16 |
| ULTRASHORT CONSUMER (SZK) | +5.57% | +5.46% | +424.93 |
| ULTRASHORT CONSUMER (SCC) | -11.15% | +5.42% | +421.69 |
| ULTRASHORT FINANCIAL (SKF) | -44.83% | +15.83% | +1231.22 |
| ULTRASHORT HEALTH CA (RXD) | +1.17% | +1.67% | +130.15 |
| ULTRASHORT INDUSTRIA (SIJ) | +5.85% | +9.14% | +710.86 |
| ULTRASHORT OIL & GAS (DUG) | -7.16% | +7.32% | +569.46 |
| ULTRASHORT REAL ESTA (SRS) | -14.44% | +11.62% | +903.38 |
| ULTRASHORT SEMICONDU (SSG) | -38.50% | +8.37% | +650.73 |
| ULTRASHORT TECHNOLOG (REW) | -26.60% | +6.41% | +498.12 |
| ULTRASHORT UTILITIES (SDP) | +5.88% | +4.24% | +329.65 |
| PROSHARES SHR MSCI E (EUM) | -17.23% | +4.97% | +386.16 |
| PROSHARES SHORT MSCI (EFZ) | -2.24% | +3.99% | +310.55 |
| PROSHARES ULTRASHORT (EFU) | -8.57% | +7.59% | +590.13 |
| PROSHARES UTLRASHORT (EEV) | -36.03% | +10.14% | +788.37 |
| PROSHARES US MSCI JP (EWV) | +1.67% | +8.08% | +628.15 |
| PROSHARES ULTRASHORT (FXP) | -43.81% | +12.88% | +1001.96 |
| ULTRA QQQ PROSHARES (QLD) | +11.20% | -5.07% | -394.12 |
| ULTRA DOW30 PROSHRS (DDM) | -12.57% | -6.50% | -505.28 |
| ULTRA S& P500 PROSHRS (SSO) | -7.27% | -6.92% | -537.83 |
| ULTRA MC400 PROSHRS (MVV) | -5.89% | -6.84% | -532.25 |
| PROSH ULTRA SMALLCAP (SAA) | -14.04% | -5.25% | -408.18 |
| ULTRA RUSSELL2000 PR (UWM) | -12.85% | -5.74% | -446.72 |
| PST ULT RUS1000 VAL (UVG) | -14.92% | -8.43% | -655.23 |
| PST ULT RSL1000 GR (UKF) | +0.41% | -5.13% | -399.27 |
| PST ULT RSL MC VALU (UVU) | -17.81% | -9.34% | -726.68 |
| PST ULT RSL MC GR PS (UKW) | +0.71% | -7.49% | -582.20 |
| PST ULT RSL2000 VALU (UVT) | -19.55% | -6.49% | -504.86 |
| PST ULT RSL2000 GR (UKK) | -5.43% | -4.99% | -388.30 |
| ULTRA BASIC MATERIAL (UYM) | -0.92% | -9.99% | -777.02 |
| ULTRA CONSUMER GOODS (UGE) | -12.54% | -5.88% | -457.11 |
| ULTRA CONSUMER SERVI (UCC) | -1.32% | -5.23% | -407.02 |
| ULTRA FINANCIALS PRO (UYG) | -14.29% | -15.52% | -1207.13 |
| ULTRA HEALTH CARE PR (RXL) | -8.91% | -1.11% | -86.40 |
| ULTRA INDUSTRIALS PR (UXI) | -24.24% | -9.74% | -757.39 |
| ULTRA OIL & GAS PROS (DIG) | -10.86% | -7.22% | -561.58 |
| ULTRA REAL ESTATE PR (URE) | -44.72% | -10.20% | -793.49 |
| ULTRA SEMICONDUCTORS (USD) | +27.75% | -8.96% | -696.88 |
| ULTRA TECHNOLOGY PRO (ROM) | +16.23% | -5.39% | -419.06 |
| ULTRA UTILITIES PROS (UPW) | -21.51% | -3.23% | -250.84 |
| Other ETFs | |||
| PWRSHRS NDQ INTERNET (PNQI) | +19.58% | -2.89% | -224.80 |
| POWERSHARES DB BASE (BOM) | -16.14% | +8.93% | +694.25 |
| POWERSHARES DB BASE (BDD) | +13.63% | -5.88% | -457.42 |
| POWERSHARES DB BASE (BDG) | +5.54% | -3.18% | -246.95 |
| POWERSHARES DB CRUDE (DTO) | -4.05% | +19.28% | +1499.11 |
| POWERSHARES DB CRUDE (SZO) | -2.33% | +9.29% | +722.58 |
| POWERSHARES DB CRUDE (DXO) | +10.08% | -9.60% | -746.72 |
| POWERSHARES DB CRUDE (OLO) | +4.25% | -6.08% | -473.13 |
| 300% Leverage ETFs | |||
| DIREXION LARGE CAP BULL 3X SHARE (BGU) | -14.80% | -9.87% | -767.16 |
| DIREXION LARGE CAP BEAR 3X SHARE (BGZ) | -16.91% | +10.07% | +783.04 |
| DIREXION SMALL CAP BULL 3X SHARE (TNA) | -24.21% | -8.60% | -668.92 |
| DIREXION SMALL CAP BEAR 3X SHARE (TZA) | -21.01% | +8.54% | +664.19 |
| DIREXION ENERGY BULL 3X SHARES (ERX) | -22.49% | -9.93% | -771.96 |
| DIREXION ENERGY BEAR 3X SHARES (ERY) | -16.28% | +9.47% | +736.18 |
| DIREXION FINANCIAL BULL 3X SHARE (FAS) | -36.44% | -23.50% | -1827.53 |
| DIREXION FINANCIAL BEAR 3X SHARE (FAZ) | -72.05% | +23.51% | +1828.08 |
Additional stock market commentary -- for subscribers only -- can be found here: Subscriber Notes (if you're reading this in plain text format or on the blog, visit the MyClues Home Page and click on "Subscriber Notes" in the Quick Links section at the top of the page).
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Sunday, March 29, 2009
Dangerous Curves Ahead
Is Jim Cramer a Cyber Terrorist?
Firefox thinks so. We were reading an article on his Street.com website and Firefox replaced the page with one which read, "Reported Attack Site! Attack sites try to install programs that steal private information, use your computer to attack others, or damage your system. Some attack sites intentionally distribute harmful software, but many are compromised without the knowledge or permission of their owners."
Apparently, Cramer's site is now regarded as an "attack site." Who woulda thunk it?
Celebrating the Three Week Bull Market in Stocks
The end-of-quarter "Bull Market" that so many are crowing about has done exactly what every bear market rally intends to do: turn the herd around and make them spend their cash. What follows isn't pretty: the chastened bears have bought in to cover their gaping short side losses, the new bulls are happy to see a 20% gain (even if they didn't buy until the last few days) and those in cash are kicking themselves for ignoring our timely buy signals to load up on the long side at the bottom. The Financial Accounting Standards Board finally got rid of mark-to-market accounting last week, something we've been demanding they do for over a year. That depression-generator, which helped push the economy into the last Great Depression almost eighty years ago, reappeared in 2007 to---once again---push the economy into depression. The European accountants hate us for getting rid of it, but it's necessary to avoid pulling the entire economy six feet under. They'll thank us once it's over.
This bull market (remember, the herd defines a bull market as any 20% gain) is just three weeks old now. If it lives a month, we'll be very surprised. There are dangerous curves ahead. Don't see them? Just take a look at the calendar---March ends on Tuesday. That's the end of the first quarter of the year, portfolio snapshots will be taken and all those bright money managers will be showing off how smart they were to have bought stocks that made such big gains in March, omitting only the fact that they did not buy them at the bottom. Most of them were bought with the market well off the lows. Oh well, it's more of the same old stuff Wall Street is famous for---lying to the public.
Just wait 'til April and see how fast those bright traders dump those stocks they didn't want to buy at the bottom!
Friday's market saw stocks back down a bit off their bull market highs. But, the portfolio managers were coming in to buy the dips to keep the levitation going 'til end of quarter Window Dressing ends on Tuesday:
Change From 20 Jan 2009 and 26 Mar 2009 To 27 Mar 2009
| Security | Percentage Change From 20 Jan 2009 | Percentage Change From 26 Mar 2009 | Change in Dow Industrials Points |
|---|---|---|---|
| Dow Industrials (index) | -2.18% | -1.87% | -148.38 |
| DIAMONDS TRUST SER 1 (DIA) | -2.01% | -1.63% | -129.24 |
| ULTRA DOW30 PROSHRS (DDM) | -6.50% | -3.47% | -275.09 |
| PT ULTRSHRT DOW30 PS (DXD) | -5.52% | +3.42% | +271.16 |
| S&P 500 (index) | +1.47% | -1.90% | -150.24 |
| S& P DEP RECEIPTS (SPY) | +1.29% | -1.80% | -143.03 |
| ULTRA S& P500 PROSHRS (SSO) | -0.38% | -3.70% | -293.23 |
| PT ULTRSHRT SP500 PS (SDS) | -13.48% | +3.28% | +260.23 |
| NYSE Composite (index) | +0.76% | -2.56% | -202.85 |
| ISHARES NYSE CMP IDX (NYC) | +1.02% | -2.40% | -190.22 |
| S&P SmallCap 600 (index) | -2.20% | -3.35% | -265.37 |
| PROSH ULTRA SMALLCAP (SAA) | -9.28% | -7.10% | -562.55 |
| SHORT SMALLCAP600 PR (SBB) | -2.52% | +2.92% | +231.55 |
| ULTRASHORT SMALLCAP6 (SDD) | -9.94% | +6.46% | +511.94 |
| Russell 2000 (index) | -1.04% | -3.63% | -287.58 |
| ISHARE RUS 2000 INDX (IWM) | -1.02% | -3.36% | -266.06 |
| ULTRA RUSSELL2000 PR (UWM) | -7.54% | -6.99% | -554.09 |
| ULTRASHORT RUSSELL20 (TWM) | -14.23% | +6.93% | +549.05 |
| NASDAQ-100 (index) | +10.30% | -2.15% | -170.70 |
| POWERSHARES QQQ TR 1 (QQQQ) | +10.23% | -1.88% | -148.85 |
| ULTRA QQQ PROSHARES (QLD) | +17.14% | -4.00% | -317.20 |
| PT UTLRSHRT QQQ PS (QID) | -25.43% | +3.68% | +291.50 |
| S&P MidCap 400 (index) | +2.69% | -2.46% | -195.24 |
| ISHARE SP MC 400 INX (IJH) | +2.73% | -2.47% | -195.82 |
| ULTRA MC400 PROSHRS (MVV) | +1.03% | -4.28% | -338.78 |
| PT ULTRSHR MC400 PS (MZZ) | -17.69% | +4.89% | +387.42 |
| GREENHAVEN CONT IDX (GCC) | +3.48% | -1.12% | -89.00 |
| Amex Gold (index) | +19.93% | -3.09% | -244.85 |
| MKT VECT GOLD MNRS (GDX) | +19.82% | -4.07% | -322.57 |
| STREETTRACKS GOLD TR (GLD) | +7.30% | -1.35% | -106.89 |
| DB GOLD DBL SH ETN (DZZ) | -14.23% | +2.29% | +181.76 |
| DB GOLD DBL LG ETN (DGP) | +15.12% | -2.44% | -193.09 |
| Semiconductor Sector (index) | +20.60% | -2.08% | -164.85 |
| ULTRA SEMICONDUCTORS (USD) | +40.33% | -1.88% | -148.98 |
| ULTRASHORT SEMICONDU (SSG) | -43.25% | +3.89% | +308.39 |
| ISHARE DJ FIN SC INX (IYF) | +8.51% | -2.70% | -213.81 |
| ISHARES LEHMAN 20 YR (TLT) | -8.51% | +0.74% | +58.79 |
| ISHARESLEHMAN 7-10YR (IEF) | -1.74% | -0.06% | -4.95 |
| ISHARES LEH AGG FD (AGG) | -2.50% | +0.08% | +6.31 |
| ISHARES GS $ INVESTO (LQD) | -6.67% | +0.31% | +24.68 |
| ISHARES LEHMAN 1-3YR (SHY) | -0.52% | +0.05% | +3.77 |
| ProShares ETFs | |||
| PROSHARES ULTRASHORT LEHMAN 7-10 (PST) | -0.09% | +0.23% | +18.05 |
| PROSHARES ULTRASHORT LEHMAN 20YR (TBT) | +10.54% | -1.37% | -108.70 |
| SHORT QQQ PROSHARES (PSQ) | -12.38% | +2.05% | +162.36 |
| SHRT DOW30 PROSHARES (DOG) | -1.59% | +1.60% | +127.13 |
| SHRT S& P500 PROSHRS (SH) | -5.38% | +1.84% | +145.53 |
| SHRT MC400 PROSHARES (MYY) | -7.34% | +2.24% | +177.45 |
| SHORT SMALLCAP600 PR (SBB) | -2.52% | +2.92% | +231.55 |
| SHORT RUSSELL2000 PR (RWM) | -5.05% | +3.42% | +270.94 |
| PT UTLRSHRT QQQ PS (QID) | -25.43% | +3.68% | +291.50 |
| PT ULTRSHRT DOW30 PS (DXD) | -5.52% | +3.42% | +271.16 |
| PT ULTRSHRT SP500 PS (SDS) | -13.48% | +3.28% | +260.23 |
| PT ULTRSHR MC400 PS (MZZ) | -17.69% | +4.89% | +387.42 |
| ULTRASHORT SMALLCAP6 (SDD) | -9.94% | +6.46% | +511.94 |
| ULTRASHORT RUSSELL20 (TWM) | -14.23% | +6.93% | +549.05 |
| PST ULSHT RSL1K VALU (SJF) | -11.39% | +3.39% | +268.71 |
| PST ULSHT RSL1K GR (SFK) | -16.73% | +4.06% | +321.49 |
| PST ULSHT RSL MC VAL (SJL) | -13.82% | +4.70% | +372.33 |
| PST ULSHT RSL MC GR (SDK) | -24.40% | +5.09% | +403.05 |
| PST ULTSHT RSL2K VAL (SJH) | -10.66% | +7.33% | +580.96 |
| PST ULSHT RSL2K GR (SKK) | -25.44% | +5.48% | +434.61 |
| ULTRASHORT BASIC MAT (SMN) | -28.93% | +3.81% | +301.76 |
| ULTRASHORT CONSUMER (SZK) | +0.10% | +1.59% | +125.97 |
| ULTRASHORT CONSUMER (SCC) | -15.72% | +3.32% | +263.23 |
| ULTRASHORT FINANCIAL (SKF) | -52.37% | +5.12% | +406.05 |
| ULTRASHORT HEALTH CA (RXD) | -0.50% | +1.72% | +136.21 |
| ULTRASHORT INDUSTRIA (SIJ) | -3.02% | +4.41% | +349.39 |
| ULTRASHORT OIL & GAS (DUG) | -13.49% | +4.68% | +370.66 |
| ULTRASHORT REAL ESTA (SRS) | -23.35% | +8.50% | +673.23 |
| ULTRASHORT SEMICONDU (SSG) | -43.25% | +3.89% | +308.39 |
| ULTRASHORT TECHNOLOG (REW) | -31.01% | +4.89% | +387.89 |
| ULTRASHORT UTILITIES (SDP) | +1.57% | +3.01% | +238.91 |
| PROSHARES SHR MSCI E (EUM) | -21.15% | +3.12% | +246.95 |
| PROSHARES SHORT MSCI (EFZ) | -6.00% | +2.81% | +222.43 |
| PROSHARES ULTRASHORT (EFU) | -15.02% | +5.91% | +468.16 |
| PROSHARES UTLRASHORT (EEV) | -41.92% | +5.94% | +470.70 |
| PROSHARES US MSCI JP (EWV) | -5.93% | +3.31% | +262.27 |
| PROSHARES ULTRASHORT (FXP) | -50.22% | +2.53% | +200.83 |
| ULTRA QQQ PROSHARES (QLD) | +17.14% | -4.00% | -317.20 |
| ULTRA DOW30 PROSHRS (DDM) | -6.50% | -3.47% | -275.09 |
| ULTRA S& P500 PROSHRS (SSO) | -0.38% | -3.70% | -293.23 |
| ULTRA MC400 PROSHRS (MVV) | +1.03% | -4.28% | -338.78 |
| PROSH ULTRA SMALLCAP (SAA) | -9.28% | -7.10% | -562.55 |
| ULTRA RUSSELL2000 PR (UWM) | -7.54% | -6.99% | -554.09 |
| PST ULT RUS1000 VAL (UVG) | -7.09% | -3.53% | -279.55 |
| PST ULT RSL1000 GR (UKF) | +5.85% | -4.31% | -341.16 |
| PST ULT RSL MC VALU (UVU) | -9.34% | -3.29% | -261.03 |
| PST ULT RSL MC GR PS (UKW) | +8.86% | -4.48% | -354.83 |
| PST ULT RSL2000 VALU (UVT) | -13.96% | -7.27% | -576.45 |
| PST ULT RSL2000 GR (UKK) | -0.46% | -7.08% | -561.20 |
| ULTRA BASIC MATERIAL (UYM) | +10.08% | -4.17% | -330.19 |
| ULTRA CONSUMER GOODS (UGE) | -7.07% | -1.64% | -129.78 |
| ULTRA CONSUMER SERVI (UCC) | +4.13% | -3.41% | -269.92 |
| ULTRA FINANCIALS PRO (UYG) | +1.47% | -5.14% | -407.08 |
| ULTRA HEALTH CARE PR (RXL) | -7.89% | -2.24% | -177.23 |
| ULTRA INDUSTRIALS PR (UXI) | -16.07% | -4.52% | -358.37 |
| ULTRA OIL & GAS PROS (DIG) | -3.92% | -5.08% | -402.62 |
| ULTRA REAL ESTATE PR (URE) | -38.44% | -8.92% | -707.02 |
| ULTRA SEMICONDUCTORS (USD) | +40.33% | -1.88% | -148.98 |
| ULTRA TECHNOLOGY PRO (ROM) | +22.85% | -4.96% | -392.79 |
| ULTRA UTILITIES PROS (UPW) | -18.89% | -3.24% | -256.41 |
| Other ETFs | |||
| PWRSHRS NDQ INTERNET (PNQI) | +23.14% | -1.23% | -97.71 |
| POWERSHARES DB BASE (BOM) | -23.01% | +3.92% | +310.35 |
| POWERSHARES DB BASE (BDD) | +20.73% | -2.33% | -184.58 |
| POWERSHARES DB BASE (BDG) | +9.00% | -0.63% | -50.01 |
| POWERSHARES DB CRUDE (DTO) | -19.56% | +12.58% | +997.19 |
| POWERSHARES DB CRUDE (SZO) | -10.63% | +4.63% | +367.13 |
| POWERSHARES DB CRUDE (DXO) | +21.77% | -5.33% | -422.31 |
| POWERSHARES DB CRUDE (OLO) | +11.00% | -2.58% | -204.55 |
| 300% Leverage ETFs | |||
| DIREXION LARGE CAP BULL 3X SHARE (BGU) | -5.47% | -5.94% | -470.98 |
| DIREXION LARGE CAP BEAR 3X SHARE (BGZ) | -24.51% | +5.26% | +417.16 |
| DIREXION SMALL CAP BULL 3X SHARE (TNA) | -17.08% | -9.62% | -762.42 |
| DIREXION SMALL CAP BEAR 3X SHARE (TZA) | -27.22% | +9.29% | +736.17 |
| DIREXION ENERGY BULL 3X SHARES (ERX) | -13.95% | -7.94% | -629.16 |
| DIREXION ENERGY BEAR 3X SHARES (ERY) | -23.52% | +8.08% | +639.98 |
| DIREXION FINANCIAL BULL 3X SHARE (FAS) | -16.91% | -7.58% | -600.70 |
| DIREXION FINANCIAL BEAR 3X SHARE (FAZ) | -77.37% | +7.03% | +556.93 |
Additional stock market commentary -- for subscribers only -- can be found here: Subscriber Notes (if you're reading this in plain text format or on the blog, visit the MyClues Home Page and click on "Subscriber Notes" in the Quick Links section at the top of the page).
Is Your ISP Censoring Your Email? Internet email is dying, being choked to death by spam and overzealous service providers. If you're not getting these updates via email and you should be, switch to RSS, the spam-free alternative. For instructions, just visit: http://www.marketclues.net/rss.html.
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· Quarter-Hourly Chart Comments
· Detailed Comments . . . .
Friday, March 27, 2009
Commodity Price Inflation
The Fed's flooding of the markets with newly-printed dollars is being taken seriously by the commodity complex. Since the bottom in the oil market just a few weeks ago, crude prices have risen by 30% and the average price of gasoline per gallon in the US has moved back above the $2 mark. Although oil may be an extreme example, the Commodity Research Bureau Index has risen almost 15% off the low. Do these rises in prices indicate we aren't going into a depression?
Actually, no. Prices always overshoot in both directions. When Oil hit $145/bbl last year, it was far overvalued. And, when it hit $31 in December, it was far undervalued. Prices have a tendency to swing widely around a middle, fairly-valued price. The geometric mean of the two extremes? $67. In other words, oil is probably closer to its fair value now than at almost any time in the last year. It's unlikely to stay there, though, as economic activity continues to decline and the number of unemployed persons is now soaring. They're not going to be driving very much, if only because there really aren't many positions to interview for. As demand destruction continues, Oil is likely to retest its recent lows and to make new lows in coming months.
More Bank Rescues Ahead
The government is running out of money to bailout banks. The TARP fund is said to have only $15 Billion left in it and there are likely to be quite a few banks technically insolvent by the end of the current round of stress tests being given them. Will Congress pony up more taxpayer cash? Well, does the sun rise in the East?
When it comes to spending money, Congress is the number one consumer in the world. And, when the charges come due on the credit card, Mom and Pop America can always be counted on to write a check. Isn't democracy wunnerfull?
Obama's Fantasy Budget
We read an analysis of Obama's budget and the projections for the various bank bailouts and other wealth transfer schemes the Repubocrats* are so enamored of. Disregarding the President's "Rosy Scenario" assumptions and replacing them with realistic assumptions, Obama will leave office in eight years with the national debt approaching 100% of the nation's Gross Domestic Product. In other words, everything produced in this country in one year will be needed to cover the size of the debt. No, we are not kidding.
*The Republicans and Democrats are virtually indistinguishable these days, so we are combining them into one name to save time.
First Annual Hercules Award To Porfolio Managers
Awed again by the propensity of money managers to defy both gravity and Federal law, we have decided to award our First Annual Hercules Award to portfolio managers who have been doing some heavy lifting of extremely overvalued stocks. This levitation has pushed the market to PE Ratios that won't be seen again for a very long time.
Of course, after Tuesday, they won't care. It will be another quarter and they'll dump them like hot potatoes.
Hedging Your Foreign Stock Holdings
Or, Foreign Currency Trading For the Masses
The Chicago Mercantile Exchange has just introduced foreign currency futures contracts in "micro-size" versions. Initially, they are trading EUR/USD, USD/JPY, GBP/USD, USD/CAD, AUD/USD, USD/CHF. They are called Forex E-micro contracts and trade at 10% of the size of their full-size brethren. This is a welcome product since the small investor who wishes to hedge exposure to foreign stocks' currency component can now find a suitably-sized product to do that hedging. For instance, the AUD/USD contract is denominated in units of 10,000 Australian Dollars. At the current exchange rate of 70.22¢, that means one contract is worth US$7,022. A US-based investor in an Australian company could then hedge against a drop in the Aussie by selling short an appropriately-sized quantity of e-micro AUD/USD contracts.
The advantage of trading futures contracts on the CME versus trading on the interbank forex market? It's the difference between trading stock index futures on an exchange versus trading credit default swaps with AIG---in the latter case, if they lose and don't have the money to pay off their side of the deal, you won't get your money unless the government bails them out. Trading on an exchange guarantees you that the counterparty risk has been taken care of by a regulated company, not some fly-by-night company like AIG.
Legalized Gambling
Speculative fiction author Robert A. Heinlein noted fifty years ago in his novel The Door Into Summer that insurance companies were in the business of legalized gambling. AIG certainly fits that description.
It follows that the "innovative financial products" dreamed up by B-school grads over the last couple of decades effectively put the fate of our entire economy in the hands of gamblers. The Law of Karma may apply here. We are getting exactly what we deserved for being so reckless.
The heavy lifting continued on Thursday and it appears to be drawing in waves of sidelined-cash that never intended to buy into this market. This is how bear market rallies trap traders who have no stop-loss strategy in place:
Change From 20 Jan 2009 and 25 Mar 2009 To 26 Mar 2009
| Security | Percentage Change From 20 Jan 2009 | Percentage Change From 25 Mar 2009 | Change in Dow Industrials Points |
|---|---|---|---|
| Dow Industrials (index) | -0.31% | +2.25% | +174.75 |
| DIAMONDS TRUST SER 1 (DIA) | -0.39% | +2.18% | +169.19 |
| ULTRA DOW30 PROSHRS (DDM) | -3.13% | +4.19% | +324.90 |
| PT ULTRSHRT DOW30 PS (DXD) | -8.64% | -4.46% | -345.82 |
| S&P 500 (index) | +3.21% | +2.11% | +163.40 |
| S& P DEP RECEIPTS (SPY) | +3.15% | +2.04% | +157.95 |
| ULTRA S& P500 PROSHRS (SSO) | +3.44% | +4.44% | +344.44 |
| PT ULTRSHRT SP500 PS (SDS) | -16.23% | -4.16% | -322.48 |
| NYSE Composite (index) | +3.41% | +2.02% | +156.49 |
| ISHARES NYSE CMP IDX (NYC) | +3.50% | +2.09% | +161.83 |
| S&P SmallCap 600 (index) | +1.19% | +4.45% | +344.54 |
| PROSH ULTRA SMALLCAP (SAA) | -2.35% | +9.09% | +704.53 |
| SHORT SMALLCAP600 PR (SBB) | -5.29% | -4.12% | -319.55 |
| ULTRASHORT SMALLCAP6 (SDD) | -15.41% | -9.24% | -715.85 |
| Russell 2000 (index) | +2.69% | +4.40% | +341.23 |
| ISHARE RUS 2000 INDX (IWM) | +2.42% | +3.86% | +299.26 |
| ULTRA RUSSELL2000 PR (UWM) | -0.59% | +8.13% | +630.16 |
| ULTRASHORT RUSSELL20 (TWM) | -19.79% | -8.22% | -636.97 |
| NASDAQ-100 (index) | +12.51% | +3.41% | +264.39 |
| POWERSHARES QQQ TR 1 (QQQQ) | +12.34% | +3.09% | +239.08 |
| ULTRA QQQ PROSHARES (QLD) | +22.02% | +6.27% | +485.96 |
| PT UTLRSHRT QQQ PS (QID) | -28.07% | -6.31% | -489.36 |
| S&P MidCap 400 (index) | +5.28% | +3.91% | +303.11 |
| ISHARE SP MC 400 INX (IJH) | +5.33% | +3.87% | +299.95 |
| ULTRA MC400 PROSHRS (MVV) | +5.54% | +7.22% | +559.90 |
| PT ULTRSHR MC400 PS (MZZ) | -21.52% | -7.83% | -607.13 |
| GREENHAVEN CONT IDX (GCC) | +4.65% | +0.86% | +66.72 |
| Amex Gold (index) | +23.75% | -0.24% | -18.75 |
| MKT VECT GOLD MNRS (GDX) | +24.90% | +0.26% | +20.14 |
| STREETTRACKS GOLD TR (GLD) | +8.77% | -0.05% | -4.21 |
| DB GOLD DBL SH ETN (DZZ) | -16.15% | +0.05% | +3.56 |
| DB GOLD DBL LG ETN (DGP) | +18.00% | +0.05% | +3.78 |
| Semiconductor Sector (index) | +23.16% | +5.91% | +457.98 |
| ULTRA SEMICONDUCTORS (USD) | +43.02% | +8.20% | +635.65 |
| ULTRASHORT SEMICONDU (SSG) | -45.38% | -10.37% | -803.74 |
| ISHARE DJ FIN SC INX (IYF) | +11.52% | +1.60% | +124.30 |
| ISHARES LEHMAN 20 YR (TLT) | -9.18% | +1.16% | +89.89 |
| ISHARESLEHMAN 7-10YR (IEF) | -1.68% | +0.26% | +20.22 |
| ISHARES LEH AGG FD (AGG) | -2.58% | +0.20% | +15.47 |
| ISHARES GS $ INVESTO (LQD) | -6.96% | +0.52% | +40.15 |
| ISHARES LEHMAN 1-3YR (SHY) | -0.57% | +0.13% | +10.15 |
| ProShares ETFs | |||
| PROSHARES ULTRASHORT LEHMAN 7-10 (PST) | -0.32% | -0.55% | -42.42 |
| PROSHARES ULTRASHORT LEHMAN 20YR (TBT) | +12.08% | -1.97% | -152.95 |
| SHORT QQQ PROSHARES (PSQ) | -14.14% | -3.38% | -261.71 |
| SHRT DOW30 PROSHARES (DOG) | -3.15% | -2.11% | -163.32 |
| SHRT S& P500 PROSHRS (SH) | -7.09% | -2.25% | -174.66 |
| SHRT MC400 PROSHARES (MYY) | -9.37% | -3.74% | -290.12 |
| SHORT SMALLCAP600 PR (SBB) | -5.29% | -4.12% | -319.55 |
| SHORT RUSSELL2000 PR (RWM) | -8.19% | -4.22% | -326.77 |
| PT UTLRSHRT QQQ PS (QID) | -28.07% | -6.31% | -489.36 |
| PT ULTRSHRT DOW30 PS (DXD) | -8.64% | -4.46% | -345.82 |
| PT ULTRSHRT SP500 PS (SDS) | -16.23% | -4.16% | -322.48 |
| PT ULTRSHR MC400 PS (MZZ) | -21.52% | -7.83% | -607.13 |
| ULTRASHORT SMALLCAP6 (SDD) | -15.41% | -9.24% | -715.85 |
| ULTRASHORT RUSSELL20 (TWM) | -19.79% | -8.22% | -636.97 |
| PST ULSHT RSL1K VALU (SJF) | -14.29% | -3.93% | -304.75 |
| PST ULSHT RSL1K GR (SFK) | -19.98% | -6.95% | -538.78 |
| PST ULSHT RSL MC VAL (SJL) | -17.69% | -8.85% | -685.97 |
| PST ULSHT RSL MC GR (SDK) | -28.06% | -6.79% | -526.01 |
| PST ULTSHT RSL2K VAL (SJH) | -16.76% | -8.94% | -692.50 |
| PST ULSHT RSL2K GR (SKK) | -29.32% | -8.83% | -684.35 |
| ULTRASHORT BASIC MAT (SMN) | -31.53% | -6.56% | -508.34 |
| ULTRASHORT CONSUMER (SZK) | -1.47% | -2.54% | -196.98 |
| ULTRASHORT CONSUMER (SCC) | -18.43% | -6.69% | -518.47 |
| ULTRASHORT FINANCIAL (SKF) | -54.69% | -3.00% | -232.12 |
| ULTRASHORT HEALTH CA (RXD) | -2.18% | -2.74% | -212.22 |
| ULTRASHORT INDUSTRIA (SIJ) | -7.11% | -10.00% | -774.98 |
| ULTRASHORT OIL & GAS (DUG) | -17.36% | -1.45% | -112.46 |
| ULTRASHORT REAL ESTA (SRS) | -29.35% | -5.80% | -449.22 |
| ULTRASHORT SEMICONDU (SSG) | -45.38% | -10.37% | -803.74 |
| ULTRASHORT TECHNOLOG (REW) | -34.23% | -7.11% | -550.67 |
| ULTRASHORT UTILITIES (SDP) | -1.40% | -3.96% | -306.89 |
| PROSHARES SHR MSCI E (EUM) | -23.53% | -2.41% | -187.00 |
| PROSHARES SHORT MSCI (EFZ) | -8.56% | -1.29% | -100.20 |
| PROSHARES ULTRASHORT (EFU) | -19.76% | -1.99% | -153.99 |
| PROSHARES UTLRASHORT (EEV) | -45.17% | -4.93% | -381.70 |
| PROSHARES US MSCI JP (EWV) | -8.95% | -2.58% | -199.89 |
| PROSHARES ULTRASHORT (FXP) | -51.45% | -9.85% | -763.37 |
| ULTRA QQQ PROSHARES (QLD) | +22.02% | +6.27% | +485.96 |
| ULTRA DOW30 PROSHRS (DDM) | -3.13% | +4.19% | +324.90 |
| ULTRA S& P500 PROSHRS (SSO) | +3.44% | +4.44% | +344.44 |
| ULTRA MC400 PROSHRS (MVV) | +5.54% | +7.22% | +559.90 |
| PROSH ULTRA SMALLCAP (SAA) | -2.35% | +9.09% | +704.53 |
| ULTRA RUSSELL2000 PR (UWM) | -0.59% | +8.13% | +630.16 |
| PST ULT RUS1000 VAL (UVG) | -3.69% | +3.41% | +264.27 |
| PST ULT RSL1000 GR (UKF) | +10.61% | +5.53% | +428.63 |
| PST ULT RSL MC VALU (UVU) | -6.25% | +8.92% | +691.57 |
| PST ULT RSL MC GR PS (UKW) | +13.96% | +6.21% | +481.16 |
| PST ULT RSL2000 VALU (UVT) | -7.21% | +7.75% | +600.44 |
| PST ULT RSL2000 GR (UKK) | +7.13% | +8.91% | +690.47 |
| ULTRA BASIC MATERIAL (UYM) | +14.86% | +7.55% | +584.89 |
| ULTRA CONSUMER GOODS (UGE) | -5.53% | +2.96% | +229.35 |
| ULTRA CONSUMER SERVI (UCC) | +7.80% | +5.33% | +412.69 |
| ULTRA FINANCIALS PRO (UYG) | +6.96% | +2.10% | +162.58 |
| ULTRA HEALTH CARE PR (RXL) | -5.78% | +2.49% | +192.86 |
| ULTRA INDUSTRIALS PR (UXI) | -12.09% | +10.18% | +788.58 |
| ULTRA OIL & GAS PROS (DIG) | +1.22% | +2.18% | +169.24 |
| ULTRA REAL ESTATE PR (URE) | -32.41% | +5.49% | +425.48 |
| ULTRA SEMICONDUCTORS (USD) | +43.02% | +8.20% | +635.65 |
| ULTRA TECHNOLOGY PRO (ROM) | +29.26% | +7.41% | +574.19 |
| ULTRA UTILITIES PROS (UPW) | -16.18% | +3.14% | +243.42 |
| Other ETFs | |||
| POWERSHARES DB BASE (BOM) | -25.92% | -9.96% | -772.06 |
| POWERSHARES DB BASE (BDD) | +23.61% | +7.33% | +568.32 |
| POWERSHARES DB CRUDE (DTO) | -28.55% | -6.81% | -528.13 |
| POWERSHARES DB CRUDE (SZO) | -14.59% | -3.23% | -250.53 |
| POWERSHARES DB CRUDE (DXO) | +28.63% | +4.25% | +329.24 |
| POWERSHARES DB CRUDE (OLO) | +13.94% | +2.45% | +189.76 |
| 300% Leverage ETFs | |||
| DIREXION LARGE CAP BULL 3X SHARE (BGU) | +0.50% | +6.89% | +533.59 |
| DIREXION LARGE CAP BEAR 3X SHARE (BGZ) | -28.29% | -7.07% | -548.03 |
| DIREXION SMALL CAP BULL 3X SHARE (TNA) | -8.25% | +10.94% | +848.09 |
| DIREXION SMALL CAP BEAR 3X SHARE (TZA) | -33.41% | -11.72% | -908.57 |
| DIREXION ENERGY BULL 3X SHARES (ERX) | -6.53% | +3.13% | +242.53 |
| DIREXION ENERGY BEAR 3X SHARES (ERY) | -29.23% | -3.30% | -255.59 |
| DIREXION FINANCIAL BULL 3X SHARE (FAS) | -10.09% | +4.26% | +329.78 |
| DIREXION FINANCIAL BEAR 3X SHARE (FAZ) | -78.85% | -4.21% | -326.56 |
Additional stock market commentary -- for subscribers only -- can be found here: Subscriber Notes (if you're reading this in plain text format or on the blog, visit the MyClues Home Page and click on "Subscriber Notes" in the Quick Links section at the top of the page).
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· Quarter-Hourly Chart Comments
· Detailed Comments . . . .
Thursday, March 26, 2009
Death Throes of a Bear Market Rally
Stocks gyrated violently up, down, and up on Wednesday as this bear market rally is going through its death throes. The bear is warming up, getting ready to maul the market once again. Who says they don't ring a bell at the top?
After falling off a cliff in the Third and Fourth Quarters of 2008, the economy is showing signs of life, but it's only a bounce on the long Slope of Hope it's descending into depression. The new Treasury Secretary Tim Geithner seems to have taken our advice on trashing the dollar since that's what he did Wednesday morning. The Chinese have proposed eliminating the dollar as the world's reserve currency. Geithner indicated to journalists he was open to the idea, then had to issue a quick statement that he didn't really intend to imply replacing the dollar as the world's reserve currency. This was either a carefully-calculated plan to weaken the dollar, or just a neophyte's mistake, but it had the desired effect of causing the dollar to tumble, pushing stocks up.
That initial rally, though, didn't last as traders decided that since the government needs to borrow trillions of dollar from foreigners, a lower dollar certainly isn't going to help that cause. That fear was confirmed as the government auctioned $34 Billion worth of 5-year notes at a higher-than-anticipated yield. Stocks plummeted lower on that news.
In the last hour of trading, stocks recovered their losses as portfolio managers bought stocks they already held to boost their prices into the quarter-end Window Dressing period. This helps boost their image as stock prices are close to their highest levels of the quarter and provides more job security as well as lower corporate pension contributions which would otherwise be required. It's all illegal, of course, but you know what Wall Street thinks of laws---those laws are just for the masses. The kingpins on Wall Street are immune to the rule of law.
Traders have gotten very bullish in the last few days, with OEX traders pouring about twice as much money into upside bets as downside ones. This is the death rattle of the bear market rally.
Enjoy this bear market rally while it lasts.
Change From 20 Jan 2009 and 24 Mar 2009 To 25 Mar 2009
| Security | Percentage Change From 20 Jan 2009 | Percentage Change From 24 Mar 2009 | Change in Dow Industrials Points |
|---|---|---|---|
| Dow Industrials (index) | -2.51% | +1.17% | +89.60 |
| DIAMONDS TRUST SER 1 (DIA) | -2.52% | +0.93% | +70.91 |
| ULTRA DOW30 PROSHRS (DDM) | -7.03% | +2.01% | +154.17 |
| PT ULTRSHRT DOW30 PS (DXD) | -4.38% | -1.85% | -141.33 |
| S&P 500 (index) | +1.06% | +0.93% | +70.97 |
| S& P DEP RECEIPTS (SPY) | +1.09% | +1.05% | +80.78 |
| ULTRA S& P500 PROSHRS (SSO) | -0.96% | +1.67% | +127.92 |
| PT ULTRSHRT SP500 PS (SDS) | -12.59% | -1.85% | -141.58 |
| NYSE Composite (index) | +1.36% | +1.24% | +94.79 |
| ISHARES NYSE CMP IDX (NYC) | +1.38% | +0.92% | +70.84 |
| S&P SmallCap 600 (index) | -3.12% | +2.12% | +162.34 |
| PROSH ULTRA SMALLCAP (SAA) | -10.49% | +4.43% | +339.38 |
| SHORT SMALLCAP600 PR (SBB) | -1.21% | -1.12% | -85.83 |
| ULTRASHORT SMALLCAP6 (SDD) | -6.80% | -4.24% | -325.03 |
| Russell 2000 (index) | -1.64% | +2.34% | +179.02 |
| ISHARE RUS 2000 INDX (IWM) | -1.38% | +2.82% | +215.65 |
| ULTRA RUSSELL2000 PR (UWM) | -8.07% | +4.86% | +372.41 |
| ULTRASHORT RUSSELL20 (TWM) | -12.60% | -5.05% | -387.00 |
| NASDAQ-100 (index) | +8.83% | +0.21% | +16.45 |
| POWERSHARES QQQ TR 1 (QQQQ) | +8.98% | +0.46% | +35.36 |
| ULTRA QQQ PROSHARES (QLD) | +14.82% | +0.66% | +50.90 |
| PT UTLRSHRT QQQ PS (QID) | -23.23% | -0.86% | -65.82 |
| S&P MidCap 400 (index) | +1.32% | +1.21% | +92.94 |
| ISHARE SP MC 400 INX (IJH) | +1.40% | +0.31% | +23.48 |
| ULTRA MC400 PROSHRS (MVV) | -1.57% | +1.57% | +120.18 |
| PT ULTRSHR MC400 PS (MZZ) | -14.85% | -2.42% | -185.00 |
| GREENHAVEN CONT IDX (GCC) | +3.76% | -0.68% | -51.71 |
| Amex Gold (index) | +24.05% | +3.62% | +277.43 |
| MKT VECT GOLD MNRS (GDX) | +24.58% | +4.37% | +334.59 |
| STREETTRACKS GOLD TR (GLD) | +8.83% | +1.13% | +86.75 |
| DB GOLD DBL SH ETN (DZZ) | -16.19% | -1.85% | -141.47 |
| DB GOLD DBL LG ETN (DGP) | +17.94% | +2.14% | +164.04 |
| Semiconductor Sector (index) | +16.29% | +1.17% | +89.72 |
| ULTRA SEMICONDUCTORS (USD) | +32.18% | +0.93% | +71.02 |
| ULTRASHORT SEMICONDU (SSG) | -39.05% | -0.52% | -39.59 |
| ISHARE DJ FIN SC INX (IYF) | +9.76% | +1.96% | +150.33 |
| ISHARES LEHMAN 20 YR (TLT) | -10.22% | -1.35% | -103.12 |
| ISHARESLEHMAN 7-10YR (IEF) | -1.93% | -0.60% | -46.09 |
| ISHARES LEH AGG FD (AGG) | -2.78% | -0.44% | -33.49 |
| ISHARES GS $ INVESTO (LQD) | -7.44% | -0.48% | -37.03 |
| ISHARES LEHMAN 1-3YR (SHY) | -0.70% | -0.02% | -1.82 |
| ProShares ETFs | |||
| PROSHARES ULTRASHORT LEHMAN 7-10 (PST) | +0.23% | +1.15% | +87.75 |
| PROSHARES ULTRASHORT LEHMAN 20YR (TBT) | +14.33% | +2.63% | +201.18 |
| SHORT QQQ PROSHARES (PSQ) | -11.14% | -0.32% | -24.45 |
| SHRT DOW30 PROSHARES (DOG) | -1.06% | -1.09% | -83.40 |
| SHRT S& P500 PROSHRS (SH) | -4.94% | -0.75% | -57.78 |
| SHRT MC400 PROSHARES (MYY) | -5.85% | -1.27% | -97.59 |
| SHORT SMALLCAP600 PR (SBB) | -1.21% | -1.12% | -85.83 |
| SHORT RUSSELL2000 PR (RWM) | -4.15% | -2.61% | -200.26 |
| PT UTLRSHRT QQQ PS (QID) | -23.23% | -0.86% | -65.82 |
| PT ULTRSHRT DOW30 PS (DXD) | -4.38% | -1.85% | -141.33 |
| PT ULTRSHRT SP500 PS (SDS) | -12.59% | -1.85% | -141.58 |
| PT ULTRSHR MC400 PS (MZZ) | -14.85% | -2.42% | -185.00 |
| ULTRASHORT SMALLCAP6 (SDD) | -6.80% | -4.24% | -325.03 |
| ULTRASHORT RUSSELL20 (TWM) | -12.60% | -5.05% | -387.00 |
| PST ULSHT RSL1K VALU (SJF) | -10.78% | -3.12% | -239.27 |
| PST ULSHT RSL1K GR (SFK) | -14.00% | +0.56% | +43.08 |
| PST ULSHT RSL MC VAL (SJL) | -9.70% | +1.25% | +95.92 |
| PST ULSHT RSL MC GR (SDK) | -22.82% | -1.92% | -147.12 |
| PST ULTSHT RSL2K VAL (SJH) | -8.59% | -4.86% | -372.39 |
| PST ULSHT RSL2K GR (SKK) | -22.47% | -2.93% | -224.34 |
| ULTRASHORT BASIC MAT (SMN) | -26.73% | -1.28% | -98.27 |
| ULTRASHORT CONSUMER (SZK) | +1.10% | -2.28% | -174.86 |
| ULTRASHORT CONSUMER (SCC) | -12.59% | -2.08% | -159.66 |
| ULTRASHORT FINANCIAL (SKF) | -53.29% | -6.06% | -464.28 |
| ULTRASHORT HEALTH CA (RXD) | +0.58% | -1.02% | -78.46 |
| ULTRASHORT INDUSTRIA (SIJ) | +3.21% | -0.91% | -69.51 |
| ULTRASHORT OIL & GAS (DUG) | -16.14% | -0.30% | -22.82 |
| ULTRASHORT REAL ESTA (SRS) | -25.00% | -3.08% | -236.00 |
| ULTRASHORT SEMICONDU (SSG) | -39.05% | -0.52% | -39.59 |
| ULTRASHORT TECHNOLOG (REW) | -29.20% | -0.92% | -70.50 |
| ULTRASHORT UTILITIES (SDP) | +2.67% | +0.51% | +39.34 |
| PROSHARES SHR MSCI E (EUM) | -21.64% | -1.60% | -122.68 |
| PROSHARES SHORT MSCI (EFZ) | -7.37% | -1.59% | -122.03 |
| PROSHARES ULTRASHORT (EFU) | -18.13% | -3.48% | -266.37 |
| PROSHARES UTLRASHORT (EEV) | -42.33% | -3.87% | -296.23 |
| PROSHARES US MSCI JP (EWV) | -6.54% | -6.38% | -488.74 |
| PROSHARES ULTRASHORT (FXP) | -46.15% | -1.11% | -85.11 |
| ULTRA QQQ PROSHARES (QLD) | +14.82% | +0.66% | +50.90 |
| ULTRA DOW30 PROSHRS (DDM) | -7.03% | +2.01% | +154.17 |
| ULTRA S& P500 PROSHRS (SSO) | -0.96% | +1.67% | +127.92 |
| ULTRA MC400 PROSHRS (MVV) | -1.57% | +1.57% | +120.18 |
| PROSH ULTRA SMALLCAP (SAA) | -10.49% | +4.43% | +339.38 |
| ULTRA RUSSELL2000 PR (UWM) | -8.07% | +4.86% | +372.41 |
| PST ULT RUS1000 VAL (UVG) | -6.87% | +3.53% | +270.43 |
| PST ULT RSL1000 GR (UKF) | +4.81% | +0.75% | +57.17 |
| PST ULT RSL MC VALU (UVU) | -13.94% | -0.09% | -7.04 |
| PST ULT RSL MC GR PS (UKW) | +7.30% | +1.68% | +128.61 |
| PST ULT RSL2000 VALU (UVT) | -13.89% | +6.12% | +468.69 |
| PST ULT RSL2000 GR (UKK) | -1.64% | +4.44% | +340.45 |
| ULTRA BASIC MATERIAL (UYM) | +6.80% | +0.16% | +12.06 |
| ULTRA CONSUMER GOODS (UGE) | -8.24% | +2.36% | +180.78 |
| ULTRA CONSUMER SERVI (UCC) | +2.35% | +1.54% | +117.72 |
| ULTRA FINANCIALS PRO (UYG) | +4.76% | +5.54% | +424.00 |
| ULTRA HEALTH CARE PR (RXL) | -8.07% | +1.83% | +140.48 |
| ULTRA INDUSTRIALS PR (UXI) | -20.21% | +0.35% | +26.97 |
| ULTRA OIL & GAS PROS (DIG) | -0.94% | +0.08% | +6.32 |
| ULTRA REAL ESTATE PR (URE) | -35.93% | +2.00% | +153.20 |
| ULTRA SEMICONDUCTORS (USD) | +32.18% | +0.93% | +71.02 |
| ULTRA TECHNOLOGY PRO (ROM) | +20.34% | +0.31% | +23.86 |
| ULTRA UTILITIES PROS (UPW) | -18.73% | -0.35% | -26.97 |
| Other ETFs | |||
| POWERSHARES DB BASE (BDD) | +15.16% | +0.67% | +51.41 |
| POWERSHARES DB CRUDE (DTO) | -23.33% | +3.32% | +254.28 |
| POWERSHARES DB CRUDE (SZO) | -11.74% | +2.60% | +198.94 |
| POWERSHARES DB CRUDE (DXO) | +23.39% | -2.86% | -218.86 |
| POWERSHARES DB CRUDE (OLO) | +11.22% | -1.92% | -147.17 |
| 300% Leverage ETFs | |||
| DIREXION LARGE CAP BULL 3X SHARE (BGU) | -5.97% | +2.78% | +212.96 |
| DIREXION LARGE CAP BEAR 3X SHARE (BGZ) | -22.83% | -1.48% | -113.02 |
| DIREXION SMALL CAP BULL 3X SHARE (TNA) | -17.30% | +7.85% | +601.24 |
| DIREXION SMALL CAP BEAR 3X SHARE (TZA) | -24.56% | -7.39% | -566.22 |
| DIREXION ENERGY BULL 3X SHARES (ERX) | -9.37% | +0.99% | +76.01 |
| DIREXION ENERGY BEAR 3X SHARES (ERY) | -26.82% | -1.41% | -108.09 |
| DIREXION FINANCIAL BULL 3X SHARE (FAS) | -13.76% | +7.52% | +575.77 |
| DIREXION FINANCIAL BEAR 3X SHARE (FAZ) | -77.92% | -7.99% | -612.09 |
Additional stock market commentary -- for subscribers only -- can be found here: Subscriber Notes (if you're reading this in plain text format or on the blog, visit the MyClues Home Page and click on "Subscriber Notes" in the Quick Links section at the top of the page).
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· Quarter-Hourly Chart Comments
· Detailed Comments . . . .
Tuesday, March 24, 2009
Let's Trash the Dollar As Soon As Possible
A number of analysts have been loudly complaining that the Fed is trashing the dollar. Of course they are. It's the only way out of this depression!
These analysts seem to live in a bubble of their own creation. They want a strong dollar, but want the economy to recover. You can't have both. So, when the Obama Administration says it wants a strong dollar, don't believe them. They want --- and America desperately needs --- a weaker dollar. A strong dollar would simply keep the economy six feet under with no hope of emerging from the depression. Historical evidence says that's what got us out of the last depression and the Fed is taking that lesson of history very, very seriously.
Those same analysts say that China, America's biggest creditor, will sell their bonds to avoid being hurt by the dollar devaluation. Yes, that's exactly what they're doing. They're selling their bonds to the Fed. This is good---we have a big imbalance in trade with the largest communist nation on the planet---that's why they're our biggest creditor. Getting rid of them simply addresses that imbalance in a very effective way. Monetizing the debt with excess Chinese dollars causes those dollars being destroyed by deflation to redress the imbalance in payments over time. And, it will lead to American companies selling a lot of cheaper goods to the Chinese as they spend those dollars at home.
Look, the truth is that the dollar is extremely overvalued. That's why corporations have been shipping their jobs overseas. It's why corporations have been shipping their manufacturing plants overseas. The dollar is so incredibly overvalued, they can't employ workers and manufacture goods for export with those kind of costs. Now that we're on the path toward a fairly-valued dollar, those jobs and those manufacturing facilities will be coming back.
The bottom line is that "trashing" the dollar is simply correcting it back to fair value from an extremely overvalued position, something every American should be solidly in favor of. Don't listen to the ignorant. They don't have America's best interests at heart.
The stock market consolidated Monday's gains on Tuesday as the bulls prepared to "Charge!" ahead once again:
Change From 20 Jan 2009 and 23 Mar 2009 To 24 Mar 2009
| Security | Percentage Change From 20 Jan 2009 | Percentage Change From 23 Mar 2009 | Change in Dow Industrials Points |
|---|---|---|---|
| Dow Industrials (index) | -3.63% | -1.49% | -115.65 |
| DIAMONDS TRUST SER 1 (DIA) | -3.41% | -1.36% | -106.00 |
| ULTRA DOW30 PROSHRS (DDM) | -8.87% | -3.13% | -243.19 |
| PT ULTRSHRT DOW30 PS (DXD) | -2.58% | +2.47% | +191.74 |
| S&P 500 (index) | +0.29% | -1.87% | -145.33 |
| S& P DEP RECEIPTS (SPY) | +0.04% | -1.99% | -155.06 |
| ULTRA S& P500 PROSHRS (SSO) | -2.58% | -4.32% | -336.17 |
| PT ULTRSHRT SP500 PS (SDS) | -10.95% | +3.81% | +296.30 |
| NYSE Composite (index) | +0.12% | -2.34% | -182.23 |
| ISHARES NYSE CMP IDX (NYC) | +0.45% | -2.60% | -201.97 |
| S&P SmallCap 600 (index) | -5.13% | -3.62% | -281.39 |
| PROSH ULTRA SMALLCAP (SAA) | -14.29% | -7.18% | -558.32 |
| SHORT SMALLCAP600 PR (SBB) | -0.09% | +2.19% | +170.65 |
| ULTRASHORT SMALLCAP6 (SDD) | -2.67% | +6.86% | +533.66 |
| Russell 2000 (index) | -3.91% | -3.92% | -304.96 |
| ISHARE RUS 2000 INDX (IWM) | -4.08% | -4.20% | -326.23 |
| ULTRA RUSSELL2000 PR (UWM) | -12.33% | -7.47% | -581.17 |
| ULTRASHORT RUSSELL20 (TWM) | -7.95% | +7.63% | +593.56 |
| NASDAQ-100 (index) | +8.78% | -1.86% | -144.80 |
| POWERSHARES QQQ TR 1 (QQQQ) | +8.48% | -1.84% | -143.44 |
| ULTRA QQQ PROSHARES (QLD) | +14.06% | -3.53% | -274.15 |
| PT UTLRSHRT QQQ PS (QID) | -22.56% | +3.54% | +275.06 |
| S&P MidCap 400 (index) | +0.10% | -2.47% | -192.14 |
| ISHARE SP MC 400 INX (IJH) | +1.09% | -1.98% | -154.18 |
| ULTRA MC400 PROSHRS (MVV) | -3.09% | -4.45% | -345.93 |
| PT ULTRSHR MC400 PS (MZZ) | -12.75% | +4.75% | +368.99 |
| GREENHAVEN CONT IDX (GCC) | +4.47% | -2.63% | -204.45 |
| Amex Gold (index) | +19.72% | -1.48% | -114.88 |
| MKT VECT GOLD MNRS (GDX) | +19.37% | -2.25% | -175.27 |
| STREETTRACKS GOLD TR (GLD) | +7.61% | -1.23% | -95.43 |
| DB GOLD DBL SH ETN (DZZ) | -14.62% | +2.26% | +175.50 |
| DB GOLD DBL LG ETN (DGP) | +15.47% | -2.52% | -196.28 |
| Semiconductor Sector (index) | +14.94% | -2.41% | -187.06 |
| ULTRA SEMICONDUCTORS (USD) | +30.96% | -6.04% | -469.36 |
| ULTRASHORT SEMICONDU (SSG) | -38.74% | +6.15% | +478.37 |
| ISHARE DJ FIN SC INX (IYF) | +7.65% | -5.90% | -459.07 |
| ISHARES LEHMAN 20 YR (TLT) | -9.00% | +0.95% | +73.97 |
| ISHARESLEHMAN 7-10YR (IEF) | -1.34% | -0.15% | -11.28 |
| ISHARES LEH AGG FD (AGG) | -2.35% | -0.68% | -52.95 |
| ISHARES GS $ INVESTO (LQD) | -6.99% | -0.99% | -76.91 |
| ISHARES LEHMAN 1-3YR (SHY) | -0.67% | -0.13% | -10.17 |
| ProShares ETFs | |||
| PROSHARES ULTRASHORT LEHMAN 7-10 (PST) | -0.91% | +0.34% | +26.81 |
| PROSHARES ULTRASHORT LEHMAN 20YR (TBT) | +11.41% | -1.90% | -147.71 |
| SHORT QQQ PROSHARES (PSQ) | -10.85% | +1.85% | +143.64 |
| SHRT DOW30 PROSHARES (DOG) | +0.03% | +1.37% | +106.75 |
| SHRT S& P500 PROSHRS (SH) | -4.22% | +1.92% | +149.44 |
| SHRT MC400 PROSHARES (MYY) | -4.63% | +2.20% | +171.34 |
| SHORT SMALLCAP600 PR (SBB) | -0.09% | +2.19% | +170.65 |
| SHORT RUSSELL2000 PR (RWM) | -1.58% | +4.00% | +311.03 |
| PT UTLRSHRT QQQ PS (QID) | -22.56% | +3.54% | +275.06 |
| PT ULTRSHRT DOW30 PS (DXD) | -2.58% | +2.47% | +191.74 |
| PT ULTRSHRT SP500 PS (SDS) | -10.95% | +3.81% | +296.30 |
| PT ULTRSHR MC400 PS (MZZ) | -12.75% | +4.75% | +368.99 |
| ULTRASHORT SMALLCAP6 (SDD) | -2.67% | +6.86% | +533.66 |
| ULTRASHORT RUSSELL20 (TWM) | -7.95% | +7.63% | +593.56 |
| PST ULSHT RSL1K VALU (SJF) | -7.91% | +5.04% | +391.56 |
| PST ULSHT RSL1K GR (SFK) | -14.48% | +2.54% | +197.71 |
| PST ULSHT RSL MC VAL (SJL) | -10.82% | -5.39% | -418.82 |
| PST ULSHT RSL MC GR (SDK) | -21.31% | -1.23% | -95.38 |
| PST ULTSHT RSL2K VAL (SJH) | -3.92% | +9.13% | +710.01 |
| PST ULSHT RSL2K GR (SKK) | -20.13% | -5.18% | -402.74 |
| ULTRASHORT BASIC MAT (SMN) | -25.78% | -0.40% | -30.75 |
| ULTRASHORT CONSUMER (SZK) | +3.46% | +1.35% | +105.33 |
| ULTRASHORT CONSUMER (SCC) | -10.72% | +1.84% | +143.29 |
| ULTRASHORT FINANCIAL (SKF) | -50.28% | +9.41% | +731.86 |
| ULTRASHORT HEALTH CA (RXD) | +1.62% | +2.42% | +188.25 |
| ULTRASHORT INDUSTRIA (SIJ) | +4.16% | +1.36% | +105.57 |
| ULTRASHORT OIL & GAS (DUG) | -15.89% | +3.52% | +274.04 |
| ULTRASHORT REAL ESTA (SRS) | -22.62% | +10.80% | +840.04 |
| ULTRASHORT SEMICONDU (SSG) | -38.74% | +6.15% | +478.37 |
| ULTRASHORT TECHNOLOG (REW) | -28.55% | +2.21% | +171.97 |
| ULTRASHORT UTILITIES (SDP) | +2.14% | -4.75% | -369.30 |
| PROSHARES SHR MSCI E (EUM) | -20.36% | +2.64% | +205.19 |
| PROSHARES SHORT MSCI (EFZ) | -5.87% | +2.97% | +231.14 |
| PROSHARES ULTRASHORT (EFU) | -15.18% | +5.58% | +434.20 |
| PROSHARES UTLRASHORT (EEV) | -40.01% | +6.13% | +476.66 |
| PROSHARES US MSCI JP (EWV) | -0.17% | +5.61% | +436.48 |
| PROSHARES ULTRASHORT (FXP) | -45.54% | +3.49% | +271.22 |
| ULTRA QQQ PROSHARES (QLD) | +14.06% | -3.53% | -274.15 |
| ULTRA DOW30 PROSHRS (DDM) | -8.87% | -3.13% | -243.19 |
| ULTRA S& P500 PROSHRS (SSO) | -2.58% | -4.32% | -336.17 |
| ULTRA MC400 PROSHRS (MVV) | -3.09% | -4.45% | -345.93 |
| PROSH ULTRA SMALLCAP (SAA) | -14.29% | -7.18% | -558.32 |
| ULTRA RUSSELL2000 PR (UWM) | -12.33% | -7.47% | -581.17 |
| PST ULT RUS1000 VAL (UVG) | -10.04% | -5.58% | -434.00 |
| PST ULT RSL1000 GR (UKF) | +4.04% | -3.69% | -286.89 |
| PST ULT RSL MC VALU (UVU) | -13.86% | -3.97% | -308.84 |
| PST ULT RSL MC GR PS (UKW) | +5.53% | -3.81% | -296.37 |
| PST ULT RSL2000 VALU (UVT) | -18.85% | -9.75% | -758.13 |
| PST ULT RSL2000 GR (UKK) | -5.82% | -5.82% | -452.62 |
| ULTRA BASIC MATERIAL (UYM) | +6.63% | +0.16% | +12.26 |
| ULTRA CONSUMER GOODS (UGE) | -10.36% | -1.46% | -113.36 |
| ULTRA CONSUMER SERVI (UCC) | +0.80% | -0.85% | -65.82 |
| ULTRA FINANCIALS PRO (UYG) | -0.73% | -7.82% | -608.32 |
| ULTRA HEALTH CARE PR (RXL) | -9.72% | -3.35% | -260.62 |
| ULTRA INDUSTRIALS PR (UXI) | -20.49% | -1.93% | -150.36 |
| ULTRA OIL & GAS PROS (DIG) | -1.02% | -3.96% | -307.95 |
| ULTRA REAL ESTATE PR (URE) | -37.19% | -15.54% | -1208.41 |
| ULTRA SEMICONDUCTORS (USD) | +30.96% | -6.04% | -469.36 |
| ULTRA TECHNOLOGY PRO (ROM) | +19.97% | -3.35% | -260.87 |
| ULTRA UTILITIES PROS (UPW) | -18.44% | -4.95% | -384.60 |
| Other ETFs | |||
| PWRSHRS NDQ INTERNET (PNQI) | +21.84% | -0.92% | -71.62 |
| POWERSHARES DB BASE (BDD) | +14.40% | -6.88% | -534.59 |
| POWERSHARES DB BASE (BDG) | +6.54% | +2.21% | +172.16 |
| POWERSHARES DB CRUDE (DTO) | -25.79% | +2.66% | +207.21 |
| POWERSHARES DB CRUDE (SZO) | -13.97% | -1.10% | -85.42 |
| POWERSHARES DB CRUDE (DXO) | +27.02% | -2.48% | -192.59 |
| POWERSHARES DB CRUDE (OLO) | +13.40% | -0.76% | -59.30 |
| 300% Leverage ETFs | |||
| DIREXION LARGE CAP BULL 3X SHARE (BGU) | -8.52% | -6.57% | -511.05 |
| DIREXION LARGE CAP BEAR 3X SHARE (BGZ) | -21.67% | +4.45% | +346.19 |
| DIREXION SMALL CAP BULL 3X SHARE (TNA) | -23.32% | -10.88% | -846.08 |
| DIREXION SMALL CAP BEAR 3X SHARE (TZA) | -18.54% | +10.58% | +822.60 |
| DIREXION ENERGY BULL 3X SHARES (ERX) | -10.26% | -5.88% | -457.25 |
| DIREXION ENERGY BEAR 3X SHARES (ERY) | -25.77% | +7.59% | +590.25 |
| DIREXION FINANCIAL BULL 3X SHARE (FAS) | -19.79% | -13.56% | -1054.35 |
| DIREXION FINANCIAL BEAR 3X SHARE (FAZ) | -76.01% | +10.16% | +789.74 |
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· Quarter-Hourly Chart Comments
· Detailed Comments . . . .
Monday, March 23, 2009
The Rich Get Richer, While the Poor Pay Taxes
The latest bank bailout plan was unveiled over the weekend, sending the market soaring 500 points on Monday. The chances of it actually working are probably no more than any of the other "experiments" in creative government aid that have been tried over the last 18 months (but those other plans have heaped vast riches on those who don't need the money and, in many cases, are the perpetrators of the problem in the first place). The difference today? The market was very oversold and institutions needed to sell stocks. Voila! A convenient rally for them to sell into.
The government's latest plan will take the toxic assets off the hands of the perps with taxpayer money---highly leveraged taxpayer money, that is---loaned to the big boys to "buy" the paper. Of course, the plan shafts the taxpayers, who are forced by our gasbag reps in Congress who are busily funnelling money to the big boys who caused this Financial Armageddon in the first place. Nothing new there, this is getting to be repetitive as each circle around the pile of stinking, toxic debt just gets bigger and bigger. The government borrows money, loans it to the big boys and sticks it to the taxpayer to foot the bill. The government even guarantees the rich won't lose money, just the taxpayers. The market loves it when the big boys get theirs at the expense of the little guys. It feeds their egos since, at heart, they don't believe the masses deserved the money in the first place. These are the people who, when told that the masses don't have bread to eat, suggested they eat cake instead. Maybe heads will roll, who knows?
We told readers to look for the market to rally. Traders were poised for another leg up--and it did. The two-day options expiration pullback we had late last week was simply a minor correction in an ongoing bear market rally---a mechanical unwinding of positions associated with March options. In fact, some of the shorts may have been caught with their pants down Monday as the March calls they bought had expired and didn't protect them from the onslaught of higher prices this week. Rushing to hedge or buy to cover may have represented substantial fuel for the fire which engulfed the bears. Replacing those call options simply helps add to the fire under the rally due to hedging activity by market makers.
It won't be long before the market wakes up and realizes that its Wile E. Coyote dream was real and there's nothing but air down below. We certainly have not seen the bottom of the depression yet---and won't for many years. The last one took twenty-one years to play out and we're only nine years into this one. And, this one is much bigger than the Thirties, more on the scale of the Twenties---1720s, that is. That depression lasted a brief sixty-four years. No, that can't happen here, we're so much smarter today than we were then. We have smart people running things, like the folks at Standard & Poors who modeled the housing market with an assumption that home prices can only go up.
Change From 20 Jan 2009 and 20 Mar 2009 To 23 Mar 2009
| Security | Percentage Change From 20 Jan 2009 | Percentage Change From 20 Mar 2009 | Change in Dow Industrials Points |
|---|---|---|---|
| Dow Industrials (index) | -2.18% | +6.84% | +497.48 |
| DIAMONDS TRUST SER 1 (DIA) | -2.08% | +6.90% | +502.30 |
| ULTRA DOW30 PROSHRS (DDM) | -5.92% | +13.82% | +1006.12 |
| PT ULTRSHRT DOW30 PS (DXD) | -4.92% | -13.57% | -987.62 |
| S&P 500 (index) | +1.87% | +6.81% | +495.87 |
| S& P DEP RECEIPTS (SPY) | +2.07% | +7.21% | +524.70 |
| ULTRA S& P500 PROSHRS (SSO) | +1.82% | +14.29% | +1039.77 |
| PT ULTRSHRT SP500 PS (SDS) | -14.22% | -14.31% | -1041.80 |
| NYSE Composite (index) | +2.53% | +7.32% | +532.80 |
| ISHARES NYSE CMP IDX (NYC) | +3.13% | +7.06% | +514.17 |
| S&P SmallCap 600 (index) | -1.57% | +8.04% | +585.41 |
| PROSH ULTRA SMALLCAP (SAA) | -7.66% | +16.15% | +1175.36 |
| SHORT SMALLCAP600 PR (SBB) | -2.24% | -7.92% | -576.60 |
| ULTRASHORT SMALLCAP6 (SDD) | -8.92% | -15.73% | -1145.15 |
| Russell 2000 (index) | +0.02% | +8.40% | +611.40 |
| ISHARE RUS 2000 INDX (IWM) | +0.12% | +8.50% | +618.97 |
| ULTRA RUSSELL2000 PR (UWM) | -5.25% | +16.72% | +1216.98 |
| ULTRASHORT RUSSELL20 (TWM) | -14.48% | -16.90% | -1230.00 |
| NASDAQ-100 (index) | +10.48% | +5.91% | +430.14 |
| POWERSHARES QQQ TR 1 (QQQQ) | +10.52% | +5.89% | +429.02 |
| ULTRA QQQ PROSHARES (QLD) | +18.23% | +11.78% | +857.64 |
| PT UTLRSHRT QQQ PS (QID) | -25.21% | -11.67% | -849.71 |
| S&P MidCap 400 (index) | +2.64% | +7.37% | +536.34 |
| ISHARE SP MC 400 INX (IJH) | +3.14% | +7.52% | +546.98 |
| ULTRA MC400 PROSHRS (MVV) | +1.42% | +14.76% | +1074.39 |
| PT ULTRSHR MC400 PS (MZZ) | -16.70% | -14.69% | -1069.17 |
| GREENHAVEN CONT IDX (GCC) | +7.29% | +0.80% | +57.87 |
| Amex Gold (index) | +21.51% | +0.53% | +38.28 |
| MKT VECT GOLD MNRS (GDX) | +22.12% | +0.43% | +31.01 |
| STREETTRACKS GOLD TR (GLD) | +8.94% | -1.61% | -117.43 |
| DB GOLD DBL SH ETN (DZZ) | -16.50% | +3.43% | +249.66 |
| DB GOLD DBL LG ETN (DGP) | +18.46% | -3.24% | -235.89 |
| Semiconductor Sector (index) | +17.77% | +7.20% | +523.81 |
| ULTRA SEMICONDUCTORS (USD) | +39.38% | +12.30% | +895.17 |
| ULTRASHORT SEMICONDU (SSG) | -42.29% | -13.70% | -996.87 |
| ISHARE DJ FIN SC INX (IYF) | +14.40% | +15.66% | +1140.04 |
| ISHARES LEHMAN 20 YR (TLT) | -9.85% | -0.87% | -63.03 |
| ISHARESLEHMAN 7-10YR (IEF) | -1.20% | -0.34% | -24.79 |
| ISHARES LEH AGG FD (AGG) | -1.68% | 0.00% | 0.00 |
| ISHARES GS $ INVESTO (LQD) | -6.06% | +0.31% | +22.52 |
| ISHARES LEHMAN 1-3YR (SHY) | -0.54% | -0.08% | -6.05 |
| ProShares ETFs | |||
| PROSHARES ULTRASHORT LEHMAN 7-10 (PST) | -1.25% | +0.25% | +18.17 |
| PROSHARES ULTRASHORT LEHMAN 20YR (TBT) | +13.56% | +1.55% | +112.97 |
| SHORT QQQ PROSHARES (PSQ) | -12.47% | -6.08% | -442.46 |
| SHRT DOW30 PROSHARES (DOG) | -1.33% | -6.95% | -505.89 |
| SHRT S& P500 PROSHRS (SH) | -6.03% | -7.31% | -532.02 |
| SHRT MC400 PROSHARES (MYY) | -6.69% | -6.93% | -504.03 |
| SHORT SMALLCAP600 PR (SBB) | -2.24% | -7.92% | -576.60 |
| SHORT RUSSELL2000 PR (RWM) | -5.36% | -8.41% | -612.07 |
| PT UTLRSHRT QQQ PS (QID) | -25.21% | -11.67% | -849.71 |
| PT ULTRSHRT DOW30 PS (DXD) | -4.92% | -13.57% | -987.62 |
| PT ULTRSHRT SP500 PS (SDS) | -14.22% | -14.31% | -1041.80 |
| PT ULTRSHR MC400 PS (MZZ) | -16.70% | -14.69% | -1069.17 |
| ULTRASHORT SMALLCAP6 (SDD) | -8.92% | -15.73% | -1145.15 |
| ULTRASHORT RUSSELL20 (TWM) | -14.48% | -16.90% | -1230.00 |
| PST ULSHT RSL1K VALU (SJF) | -12.32% | -15.74% | -1145.39 |
| PST ULSHT RSL1K GR (SFK) | -16.60% | -11.30% | -822.43 |
| PST ULSHT RSL MC VAL (SJL) | -5.74% | -12.88% | -937.62 |
| PST ULSHT RSL MC GR (SDK) | -20.33% | -12.95% | -942.56 |
| PST ULTSHT RSL2K VAL (SJH) | -11.96% | -17.53% | -1276.14 |
| PST ULSHT RSL2K GR (SKK) | -15.77% | -14.69% | -1069.38 |
| ULTRASHORT BASIC MAT (SMN) | -25.48% | -11.54% | -840.27 |
| ULTRASHORT CONSUMER (SZK) | +2.08% | -9.03% | -657.20 |
| ULTRASHORT CONSUMER (SCC) | -12.34% | -11.68% | -850.19 |
| ULTRASHORT FINANCIAL (SKF) | -54.56% | -29.79% | -2168.46 |
| ULTRASHORT HEALTH CA (RXD) | -0.78% | -6.97% | -507.08 |
| ULTRASHORT INDUSTRIA (SIJ) | +2.76% | -14.09% | -1025.16 |
| ULTRASHORT OIL & GAS (DUG) | -18.75% | -15.77% | -1147.80 |
| ULTRASHORT REAL ESTA (SRS) | -30.16% | -29.80% | -2168.95 |
| ULTRASHORT SEMICONDU (SSG) | -42.29% | -13.70% | -996.87 |
| ULTRASHORT TECHNOLOG (REW) | -30.09% | -12.10% | -880.63 |
| ULTRASHORT UTILITIES (SDP) | +7.23% | -7.68% | -558.82 |
| PROSHARES SHR MSCI E (EUM) | -22.41% | -8.95% | -651.68 |
| PROSHARES SHORT MSCI (EFZ) | -8.58% | -6.85% | -498.61 |
| PROSHARES ULTRASHORT (EFU) | -19.67% | -13.91% | -1012.49 |
| PROSHARES UTLRASHORT (EEV) | -43.48% | -18.06% | -1314.78 |
| PROSHARES US MSCI JP (EWV) | -5.47% | -15.16% | -1103.18 |
| PROSHARES ULTRASHORT (FXP) | -47.38% | -19.77% | -1439.11 |
| ULTRA QQQ PROSHARES (QLD) | +18.23% | +11.78% | +857.64 |
| ULTRA DOW30 PROSHRS (DDM) | -5.92% | +13.82% | +1006.12 |
| ULTRA S& P500 PROSHRS (SSO) | +1.82% | +14.29% | +1039.77 |
| ULTRA MC400 PROSHRS (MVV) | +1.42% | +14.76% | +1074.39 |
| PROSH ULTRA SMALLCAP (SAA) | -7.66% | +16.15% | +1175.36 |
| ULTRA RUSSELL2000 PR (UWM) | -5.25% | +16.72% | +1216.98 |
| PST ULT RUS1000 VAL (UVG) | -4.73% | +15.38% | +1119.75 |
| PST ULT RSL1000 GR (UKF) | +8.02% | +12.45% | +905.88 |
| PST ULT RSL MC VALU (UVU) | -10.29% | +14.21% | +1034.53 |
| PST ULT RSL MC GR PS (UKW) | +9.71% | +13.49% | +981.83 |
| PST ULT RSL2000 VALU (UVT) | -10.09% | +17.90% | +1303.15 |
| PST ULT RSL2000 GR (UKK) | 0.00% | +14.28% | +1038.99 |
| ULTRA BASIC MATERIAL (UYM) | +6.47% | +12.11% | +881.64 |
| ULTRA CONSUMER GOODS (UGE) | -9.03% | +8.27% | +601.74 |
| ULTRA CONSUMER SERVI (UCC) | +1.66% | +12.15% | +884.46 |
| ULTRA FINANCIALS PRO (UYG) | +7.69% | +25.11% | +1827.34 |
| ULTRA HEALTH CARE PR (RXL) | -6.59% | +6.93% | +504.12 |
| ULTRA INDUSTRIALS PR (UXI) | -18.92% | +13.93% | +1013.59 |
| ULTRA OIL & GAS PROS (DIG) | +3.06% | +15.88% | +1155.72 |
| ULTRA REAL ESTATE PR (URE) | -25.63% | +29.82% | +2170.75 |
| ULTRA SEMICONDUCTORS (USD) | +39.38% | +12.30% | +895.17 |
| ULTRA TECHNOLOGY PRO (ROM) | +24.13% | +12.54% | +912.44 |
| ULTRA UTILITIES PROS (UPW) | -14.20% | +7.91% | +575.38 |
| Other ETFs | |||
| POWERSHARES DB BASE (BOM) | -21.97% | -5.77% | -419.69 |
| POWERSHARES DB BASE (BDD) | +22.84% | +5.79% | +421.06 |
| POWERSHARES DB BASE (BOS) | -11.29% | -2.80% | -203.74 |
| POWERSHARES DB BASE (BDG) | +4.23% | +1.57% | +114.58 |
| POWERSHARES DB CRUDE (DTO) | -27.72% | -9.82% | -714.44 |
| POWERSHARES DB CRUDE (SZO) | -13.01% | -2.59% | -188.68 |
| POWERSHARES DB CRUDE (DXO) | +30.24% | +6.95% | +506.11 |
| POWERSHARES DB CRUDE (OLO) | +14.27% | +3.76% | +273.57 |
| 300% Leverage ETFs | |||
| DIREXION LARGE CAP BULL 3X SHARE (BGU) | -2.08% | +21.87% | +1591.82 |
| DIREXION LARGE CAP BEAR 3X SHARE (BGZ) | -25.01% | -20.90% | -1521.14 |
| DIREXION SMALL CAP BULL 3X SHARE (TNA) | -13.95% | +25.65% | +1866.98 |
| DIREXION SMALL CAP BEAR 3X SHARE (TZA) | -26.34% | -25.34% | -1844.24 |
| DIREXION ENERGY BULL 3X SHARES (ERX) | -4.65% | +23.18% | +1687.02 |
| DIREXION ENERGY BEAR 3X SHARES (ERY) | -31.01% | -24.16% | -1758.11 |
| DIREXION FINANCIAL BULL 3X SHARE (FAS) | -7.21% | +41.32% | +3007.23 |
| DIREXION FINANCIAL BEAR 3X SHARE (FAZ) | -78.22% | -45.14% | -3285.67 |
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· Quarter-Hourly Chart Comments
· Detailed Comments . . . .
Sunday, March 22, 2009
Bulls Take Profits, Ending Another Good Week
The bulls were able to take profits again last week as they locked in gains ahead of the quadruple options witching game played out on the third Friday of the month. The last two days were dominated by the "tail wagging the dog" phenomenon and does not reflect a fundamental change of direction.
That change of direction was provided by the Fed, the central bank, which exercised its vast powers to announce it would definitely be printing trillions of dollars of electronic money. This is a well-telegraphed plan to fight deflation by replacing dollars destroyed in this deflationary episode by new dollars. It will work in that sense. But, getting the economy growing again is going to take much more than printing dollars. It's going to take getting credit flowing again---and not just to so-called "creditworthy" borrowers.
That term is a misnomer, of course. When a worker is laid-off, her credit history may indicate she was credit-worthy, but in today's ultratight banking environment, any bank which lends money to someone who actually needs it is going to get in trouble with the banking regulators. This is the fatal flaw of our current banking system. No one will lend to those who truly need the money, but are perfectly happy to lend to those who don't. That contradiction is the cornerstone flaw in the present economic system. We will not have a permanent recovery in the economy until that flaw is fixed. Looking back in history, the current environment of negative growth---which has been in effect for almost every quarter of the Naughties---is likely to last through the Teens as the economy just can't grow under its current debt load. And, no politician is proposing getting rid of that load. Instead, they are simply adding to the debt load, making a permanent recovery impossible without hyperinflation.
That's exactly why commodity prices soared last week. Traders reason that the Fed is going to continue pumping dollars into the system until it starts growing. The Fed has never taken the punch bowl away in time to prevent an inflationary episode and this one is going to be no exception. We're in a deflationary episode right now which will be followed by an inflationary episode of historic proportions simply because the current power elites refuse to accept the permanent solution---abolition of private banks.
Traders took profits on Friday after an excellent week:
Change From 20 Jan 2009 and 19 Mar 2009 To 20 Mar 2009
| Security | Percentage Change From 20 Jan 2009 | Percentage Change From 19 Mar 2009 | Change in Dow Industrials Points |
|---|---|---|---|
| Dow Industrials (index) | -8.44% | -1.65% | -122.42 |
| DIAMONDS TRUST SER 1 (DIA) | -8.40% | -1.85% | -136.81 |
| ULTRA DOW30 PROSHRS (DDM) | -17.35% | -3.39% | -251.21 |
| PT ULTRSHRT DOW30 PS (DXD) | +10.00% | +3.14% | +232.09 |
| S&P 500 (index) | -4.63% | -2.05% | -151.78 |
| S& P DEP RECEIPTS (SPY) | -4.79% | -2.82% | -209.07 |
| ULTRA S& P500 PROSHRS (SSO) | -10.91% | -4.12% | -304.87 |
| PT ULTRSHRT SP500 PS (SDS) | +0.12% | +4.41% | +326.02 |
| NYSE Composite (index) | -4.47% | -2.13% | -157.53 |
| ISHARES NYSE CMP IDX (NYC) | -3.67% | -1.89% | -140.04 |
| S&P SmallCap 600 (index) | -8.90% | -3.19% | -235.83 |
| PROSH ULTRA SMALLCAP (SAA) | -20.49% | -6.65% | -492.34 |
| SHORT SMALLCAP600 PR (SBB) | +6.17% | +3.61% | +267.24 |
| ULTRASHORT SMALLCAP6 (SDD) | +8.08% | +7.14% | +528.11 |
| Russell 2000 (index) | -7.73% | -3.18% | -235.50 |
| ISHARE RUS 2000 INDX (IWM) | -7.73% | -3.45% | -255.57 |
| ULTRA RUSSELL2000 PR (UWM) | -18.82% | -6.71% | -496.36 |
| ULTRASHORT RUSSELL20 (TWM) | +2.91% | +6.38% | +472.43 |
| NASDAQ-100 (index) | +4.32% | -1.54% | -114.00 |
| POWERSHARES QQQ TR 1 (QQQQ) | +4.36% | -1.68% | -124.68 |
| ULTRA QQQ PROSHARES (QLD) | +5.77% | -2.90% | -214.56 |
| PT UTLRSHRT QQQ PS (QID) | -15.32% | +3.09% | +228.38 |
| S&P MidCap 400 (index) | -4.40% | -2.92% | -215.84 |
| ISHARE SP MC 400 INX (IJH) | -4.07% | -2.85% | -210.57 |
| ULTRA MC400 PROSHRS (MVV) | -11.62% | -5.65% | -418.47 |
| PT ULTRSHR MC400 PS (MZZ) | -2.35% | +5.73% | +423.90 |
| GREENHAVEN CONT IDX (GCC) | +6.44% | +2.72% | +201.47 |
| Amex Gold (index) | +20.88% | -0.22% | -16.04 |
| MKT VECT GOLD MNRS (GDX) | +21.60% | +0.24% | +17.78 |
| STREETTRACKS GOLD TR (GLD) | +10.73% | -0.81% | -59.61 |
| DB GOLD DBL SH ETN (DZZ) | -19.27% | +1.45% | +107.31 |
| DB GOLD DBL LG ETN (DGP) | +22.43% | -1.53% | -112.96 |
| Semiconductor Sector (index) | +9.87% | -3.49% | -258.00 |
| ULTRA SEMICONDUCTORS (USD) | +24.11% | -6.71% | -496.92 |
| ULTRASHORT SEMICONDU (SSG) | -33.13% | +7.53% | +557.08 |
| ISHARE DJ FIN SC INX (IYF) | -1.09% | -4.30% | -318.59 |
| ISHARES LEHMAN 20 YR (TLT) | -9.07% | -0.56% | -41.08 |
| ISHARESLEHMAN 7-10YR (IEF) | -0.86% | 0.00% | 0.00 |
| ISHARES LEH AGG FD (AGG) | -1.68% | -0.56% | -41.40 |
| ISHARES GS $ INVESTO (LQD) | -6.35% | -1.01% | -75.02 |
| ISHARES LEHMAN 1-3YR (SHY) | -0.46% | +0.12% | +8.80 |
| ProShares ETFs | |||
| PROSHARES ULTRASHORT LEHMAN 7-10 (PST) | -1.49% | +0.74% | +54.41 |
| PROSHARES ULTRASHORT LEHMAN 20YR (TBT) | +11.83% | +0.42% | +31.31 |
| SHORT QQQ PROSHARES (PSQ) | -6.80% | +1.75% | +129.60 |
| SHRT DOW30 PROSHARES (DOG) | +6.04% | +1.68% | +124.40 |
| SHRT S& P500 PROSHRS (SH) | +1.38% | +2.07% | +153.12 |
| SHRT MC400 PROSHARES (MYY) | +0.25% | +2.64% | +195.24 |
| SHORT SMALLCAP600 PR (SBB) | +6.17% | +3.61% | +267.24 |
| SHORT RUSSELL2000 PR (RWM) | +3.33% | +3.26% | +241.11 |
| PT UTLRSHRT QQQ PS (QID) | -15.32% | +3.09% | +228.38 |
| PT ULTRSHRT DOW30 PS (DXD) | +10.00% | +3.14% | +232.09 |
| PT ULTRSHRT SP500 PS (SDS) | +0.12% | +4.41% | +326.02 |
| PT ULTRSHR MC400 PS (MZZ) | -2.35% | +5.73% | +423.90 |
| ULTRASHORT SMALLCAP6 (SDD) | +8.08% | +7.14% | +528.11 |
| ULTRASHORT RUSSELL20 (TWM) | +2.91% | +6.38% | +472.43 |
| PST ULSHT RSL1K VALU (SJF) | +4.05% | +4.70% | +347.60 |
| PST ULSHT RSL1K GR (SFK) | -5.98% | +2.82% | +208.77 |
| PST ULSHT RSL MC VAL (SJL) | +8.20% | +5.52% | +408.21 |
| PST ULSHT RSL MC GR (SDK) | -8.48% | +5.47% | +405.13 |
| PST ULTSHT RSL2K VAL (SJH) | +6.76% | +6.29% | +465.20 |
| PST ULSHT RSL2K GR (SKK) | -1.26% | +6.46% | +478.15 |
| ULTRASHORT BASIC MAT (SMN) | -15.76% | +4.56% | +337.35 |
| ULTRASHORT CONSUMER (SZK) | +12.21% | +0.56% | +41.39 |
| ULTRASHORT CONSUMER (SCC) | -0.75% | +2.98% | +220.60 |
| ULTRASHORT FINANCIAL (SKF) | -35.27% | +8.39% | +620.77 |
| ULTRASHORT HEALTH CA (RXD) | +6.65% | -0.83% | -61.71 |
| ULTRASHORT INDUSTRIA (SIJ) | +19.61% | +6.11% | +452.09 |
| ULTRASHORT OIL & GAS (DUG) | -3.54% | +7.97% | +590.05 |
| ULTRASHORT REAL ESTA (SRS) | -0.52% | +15.65% | +1158.26 |
| ULTRASHORT SEMICONDU (SSG) | -33.13% | +7.53% | +557.08 |
| ULTRASHORT TECHNOLOG (REW) | -20.47% | +3.51% | +260.07 |
| ULTRASHORT UTILITIES (SDP) | +16.15% | +1.32% | +97.36 |
| PROSHARES SHR MSCI E (EUM) | -14.78% | +1.48% | +109.44 |
| PROSHARES SHORT MSCI (EFZ) | -1.86% | +1.74% | +128.96 |
| PROSHARES ULTRASHORT (EFU) | -6.69% | +2.67% | +197.35 |
| PROSHARES UTLRASHORT (EEV) | -31.02% | +3.02% | +223.52 |
| PROSHARES US MSCI JP (EWV) | +11.42% | +5.13% | +379.61 |
| PROSHARES ULTRASHORT (FXP) | -34.41% | +5.07% | +375.42 |
| ULTRA QQQ PROSHARES (QLD) | +5.77% | -2.90% | -214.56 |
| ULTRA DOW30 PROSHRS (DDM) | -17.35% | -3.39% | -251.21 |
| ULTRA S& P500 PROSHRS (SSO) | -10.91% | -4.12% | -304.87 |
| ULTRA MC400 PROSHRS (MVV) | -11.62% | -5.65% | -418.47 |
| PROSH ULTRA SMALLCAP (SAA) | -20.49% | -6.65% | -492.34 |
| ULTRA RUSSELL2000 PR (UWM) | -18.82% | -6.71% | -496.36 |
| PST ULT RUS1000 VAL (UVG) | -17.43% | -4.44% | -328.92 |
| PST ULT RSL1000 GR (UKF) | -3.93% | -3.23% | -239.23 |
| PST ULT RSL MC VALU (UVU) | -21.46% | -5.70% | -422.10 |
| PST ULT RSL MC GR PS (UKW) | -3.33% | -5.08% | -375.96 |
| PST ULT RSL2000 VALU (UVT) | -23.74% | -6.47% | -478.83 |
| PST ULT RSL2000 GR (UKK) | -12.49% | -6.17% | -456.71 |
| ULTRA BASIC MATERIAL (UYM) | -5.04% | -5.59% | -413.90 |
| ULTRA CONSUMER GOODS (UGE) | -15.98% | -0.15% | -11.11 |
| ULTRA CONSUMER SERVI (UCC) | -9.35% | -3.19% | -235.81 |
| ULTRA FINANCIALS PRO (UYG) | -13.92% | -7.84% | -580.46 |
| ULTRA HEALTH CARE PR (RXL) | -12.64% | +0.24% | +17.89 |
| ULTRA INDUSTRIALS PR (UXI) | -28.84% | -5.71% | -422.75 |
| ULTRA OIL & GAS PROS (DIG) | -11.06% | -8.02% | -593.56 |
| ULTRA REAL ESTATE PR (URE) | -42.71% | -15.24% | -1128.00 |
| ULTRA SEMICONDUCTORS (USD) | +24.11% | -6.71% | -496.92 |
| ULTRA TECHNOLOGY PRO (ROM) | +10.30% | -3.46% | -255.92 |
| ULTRA UTILITIES PROS (UPW) | -20.49% | -1.42% | -105.39 |
| Other ETFs | |||
| POWERSHARES DB BASE (BOM) | -17.20% | +1.34% | +99.51 |
| POWERSHARES DB BASE (BDD) | +16.12% | -2.73% | -202.27 |
| POWERSHARES DB BASE (BDG) | +2.62% | -4.17% | -308.37 |
| POWERSHARES DB CRUDE (DTO) | -19.85% | -3.92% | -289.79 |
| POWERSHARES DB CRUDE (SZO) | -10.70% | -1.59% | -117.46 |
| POWERSHARES DB CRUDE (DXO) | +21.77% | +3.07% | +227.33 |
| POWERSHARES DB CRUDE (OLO) | +10.13% | +0.80% | +59.03 |
| 300% Leverage ETFs | |||
| DIREXION LARGE CAP BULL 3X SHARE (BGU) | -19.65% | -6.79% | -502.87 |
| DIREXION LARGE CAP BEAR 3X SHARE (BGZ) | -5.20% | +6.34% | +469.01 |
| DIREXION SMALL CAP BULL 3X SHARE (TNA) | -31.52% | -10.70% | -791.71 |
| DIREXION SMALL CAP BEAR 3X SHARE (TZA) | -1.34% | +10.25% | +758.71 |
| DIREXION ENERGY BULL 3X SHARES (ERX) | -22.59% | -11.47% | -848.68 |
| DIREXION ENERGY BEAR 3X SHARES (ERY) | -9.04% | +11.31% | +837.20 |
| DIREXION FINANCIAL BULL 3X SHARE (FAS) | -34.34% | -12.57% | -929.94 |
| DIREXION FINANCIAL BEAR 3X SHARE (FAZ) | -60.29% | +15.13% | +1119.86 |
Additional stock market commentary -- for subscribers only -- can be found here: Subscriber Notes (if you're reading this in plain text format or on the blog, visit the MyClues Home Page and click on "Subscriber Notes" in the Quick Links section at the top of the page).
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· Quarter-Hourly Chart Comments
· Detailed Comments . . . .
Friday, March 20, 2009
Did The Fed Do Enough?
Wednesday's Fed move to print money to offset the deflationary forces pushing the economy into Greater Depression may not have been enough to actually counteract the deleterious effects of deflation, according to Bill Gross of PIMCO, the world's largest fixed income securities dealer. Gross pointed out Thursday that it takes about four dollars of newly-printed money to result in a dollar of GDP. Printing a trillion dollars then translates into only a quarter trillion dollars of GDP, or a gain of about 2% in the GDP growth rate. Considering that the GDP is falling at about a 6% rate, this isn't enough to completely offset the decline, although it is likely to prevent an outright depression according to Gross. Thus, he recommends the Fed print even more money to actually push the economy out of the current recession into growth.
Gross calls for the Fed to bring back inflation until the economy is back on a solid growth path. He believes the dangers of deflation are stronger than the risk of future hyperinflation. And, of course, he's right in the short term, but the long term picture suggests a train wreck is likely. The Fed's hubris is well established and historically they almost always fail to achieve their objectives. Cyclically, they overtighten credit and push the economy into recession. Then, they reinflate the economy and create debt bubbles and inflation. Anyone who truly has faith in the Fed to do the right thing is either mistaken or talking his book.
The Money Chain---From Suckers to Smart Money
"Follow the money," they say. Okay, here is how the money flows from the suckers (marks) to the smart money:
- The marks, US taxpayers, pay taxes to the US Treasury.
- US Treasury pays AIG.
- AIG pays investment bankers (Goldman Sachs, etc.).
- Investment bankers pay hedge funds which bought CDS securities.
Now you know where trillions of your dollars went. Does that make you feel better, sucker?
Your Tax Dollars At Work
Now that you're financing the bankers, you may be interested to know that your tax dollars are being wisely spent by those bankers. Here's a story by Erik Schatzker via Bloomberg which asks the question, Do bankers ever learn?
Citigroup Inc. plans to spend about $10 million on new offices for Chief Executive Officer Vikram Pandit and his lieutenants, after the U.S. government injected $45 billion of cash into the bank.
Affidavits filed with New York's Department of Buildings show Citigroup expects to pay at least $3.2 million for basic construction such as wall removal, plumbing and fire safety. By the time architect's fees and expenses such as furniture are added, the tally for the offices at the bank's Park Avenue headquarters will be at least three times as high, according to a person familiar with the project who declined to be identified because he's not authorized to comment. Citigroup said the project will help it save money over time.
Pandit, criticized by lawmakers over Citigroup's use of U.S. bailout capital, canceled an order for a company jet in January and told Congress on Feb. 11 that, "I get the new reality and I'll make sure Citi gets it as well." Of the biggest U.S. banks that received federal aid, only Citigroup has turned to the government three times for rescue. The company, once the biggest U.S. bank by assets and market value, has agreed to limit perks and restrict executive pay.
Maybe they could find a cubicle to put this guy into. He sounds like the ultimate pointy-haired boss.
Henry Paulson, Master Fox Guarding the Henhouse
Our ex-Treasury Secretary did a great job---of looting the Treasury.
According to federal law, any bank receiving assistance under the Federal bailout had to swear that they had paid their federal taxes before receiving taxpayer money. 23 institutions received bailout money and all swore they owed no taxes. Now that Paulson's buddies have the cash, we discover that 13 of the 23 owed hundreds of millions of dollars in federal taxes.
Stocks
Stocks retreated, paring a global rally, as financial shares fell for the first time in three days on growing skepticism the Federal Reserve's plan to buy bonds will revive the economy:
Change From 20 Jan 2009 and 18 Mar 2009 To 19 Mar 2009
| Security | Percentage Change From 20 Jan 2009 | Percentage Change From 18 Mar 2009 | Change in Dow Industrials Points |
|---|---|---|---|
| Dow Industrials (index) | -6.90% | -1.15% | -85.78 |
| DIAMONDS TRUST SER 1 (DIA) | -6.67% | -1.15% | -85.88 |
| ULTRA DOW30 PROSHRS (DDM) | -14.44% | -2.23% | -166.73 |
| PT ULTRSHRT DOW30 PS (DXD) | +6.66% | +2.52% | +188.96 |
| S&P 500 (index) | -2.67% | -1.34% | -100.47 |
| S& P DEP RECEIPTS (SPY) | -2.02% | -1.24% | -92.73 |
| ULTRA S& P500 PROSHRS (SSO) | -7.08% | -2.36% | -176.91 |
| PT ULTRSHRT SP500 PS (SDS) | -4.11% | +2.42% | +181.32 |
| NYSE Composite (index) | -2.39% | -0.77% | -57.30 |
| ISHARES NYSE CMP IDX (NYC) | -1.81% | -0.87% | -65.31 |
| S&P SmallCap 600 (index) | -5.90% | -1.14% | -85.21 |
| PROSH ULTRA SMALLCAP (SAA) | -14.83% | -1.94% | -145.47 |
| SHORT SMALLCAP600 PR (SBB) | +2.47% | -0.78% | -58.60 |
| ULTRASHORT SMALLCAP6 (SDD) | +0.89% | +2.16% | +161.74 |
| Russell 2000 (index) | -4.70% | -1.05% | -78.34 |
| ISHARE RUS 2000 INDX (IWM) | -4.43% | -1.05% | -78.71 |
| ULTRA RUSSELL2000 PR (UWM) | -12.98% | -2.21% | -165.51 |
| ULTRASHORT RUSSELL20 (TWM) | -3.26% | +2.25% | +168.54 |
| NASDAQ-100 (index) | +5.96% | -0.22% | -16.13 |
| POWERSHARES QQQ TR 1 (QQQQ) | +6.15% | -0.07% | -5.04 |
| ULTRA QQQ PROSHARES (QLD) | +8.93% | -0.04% | -2.89 |
| PT UTLRSHRT QQQ PS (QID) | -17.85% | -0.21% | -15.85 |
| S&P MidCap 400 (index) | -1.53% | -0.59% | -43.88 |
| ISHARE SP MC 400 INX (IJH) | -1.26% | -0.58% | -43.60 |
| ULTRA MC400 PROSHRS (MVV) | -6.33% | -1.09% | -81.42 |
| PT ULTRSHR MC400 PS (MZZ) | -7.64% | +1.07% | +79.77 |
| GREENHAVEN CONT IDX (GCC) | +3.62% | +3.67% | +274.67 |
| Amex Gold (index) | +21.14% | +6.49% | +486.02 |
| MKT VECT GOLD MNRS (GDX) | +21.31% | +6.81% | +510.21 |
| STREETTRACKS GOLD TR (GLD) | +11.63% | +1.35% | +101.33 |
| DB GOLD DBL SH ETN (DZZ) | -20.42% | -2.36% | -176.65 |
| DB GOLD DBL LG ETN (DGP) | +24.32% | +2.66% | +199.07 |
| Semiconductor Sector (index) | +13.83% | -0.84% | -62.57 |
| ULTRA SEMICONDUCTORS (USD) | +33.04% | -1.29% | -96.35 |
| ULTRASHORT SEMICONDU (SSG) | -37.81% | +1.01% | +75.62 |
| ISHARE DJ FIN SC INX (IYF) | +3.36% | -6.60% | -493.76 |
| ISHARES LEHMAN 20 YR (TLT) | -8.56% | +0.12% | +9.32 |
| ISHARESLEHMAN 7-10YR (IEF) | -0.86% | -0.34% | -25.42 |
| ISHARES LEH AGG FD (AGG) | -1.13% | +0.25% | +18.41 |
| ISHARES GS $ INVESTO (LQD) | -5.39% | +0.21% | +15.84 |
| ISHARES LEHMAN 1-3YR (SHY) | -0.58% | -0.12% | -8.89 |
| ProShares ETFs | |||
| PROSHARES ULTRASHORT LEHMAN 7-10 (PST) | -2.21% | -0.04% | -2.90 |
| PROSHARES ULTRASHORT LEHMAN 20YR (TBT) | +11.36% | +0.56% | +41.91 |
| SHORT QQQ PROSHARES (PSQ) | -8.41% | -0.14% | -10.56 |
| SHRT DOW30 PROSHARES (DOG) | +4.29% | +1.21% | +90.70 |
| SHRT S& P500 PROSHRS (SH) | -0.67% | +1.30% | +96.99 |
| SHRT MC400 PROSHARES (MYY) | -2.32% | +0.52% | +39.09 |
| SHORT SMALLCAP600 PR (SBB) | +2.47% | -0.78% | -58.60 |
| SHORT RUSSELL2000 PR (RWM) | +0.07% | +0.88% | +66.09 |
| PT UTLRSHRT QQQ PS (QID) | -17.85% | -0.21% | -15.85 |
| PT ULTRSHRT DOW30 PS (DXD) | +6.66% | +2.52% | +188.96 |
| PT ULTRSHRT SP500 PS (SDS) | -4.11% | +2.42% | +181.32 |
| PT ULTRSHR MC400 PS (MZZ) | -7.64% | +1.07% | +79.77 |
| ULTRASHORT SMALLCAP6 (SDD) | +0.89% | +2.16% | +161.74 |
| ULTRASHORT RUSSELL20 (TWM) | -3.26% | +2.25% | +168.54 |
| PST ULSHT RSL1K VALU (SJF) | -0.62% | +4.37% | +327.26 |
| PST ULSHT RSL1K GR (SFK) | -8.56% | +1.05% | +78.67 |
| PST ULSHT RSL MC VAL (SJL) | +2.54% | +1.43% | +107.20 |
| PST ULSHT RSL MC GR (SDK) | -13.23% | -0.14% | -10.77 |
| PST ULTSHT RSL2K VAL (SJH) | +0.45% | +2.88% | +215.98 |
| PST ULSHT RSL2K GR (SKK) | -7.25% | +1.09% | +81.49 |
| ULTRASHORT BASIC MAT (SMN) | -19.43% | -6.94% | -519.49 |
| ULTRASHORT CONSUMER (SZK) | +11.59% | +2.48% | +185.94 |
| ULTRASHORT CONSUMER (SCC) | -3.62% | +2.49% | +186.39 |
| ULTRASHORT FINANCIAL (SKF) | -40.28% | +12.72% | +952.30 |
| ULTRASHORT HEALTH CA (RXD) | +7.54% | +4.37% | +326.92 |
| ULTRASHORT INDUSTRIA (SIJ) | +12.72% | +1.19% | +88.72 |
| ULTRASHORT OIL & GAS (DUG) | -10.67% | -3.93% | -293.93 |
| ULTRASHORT REAL ESTA (SRS) | -13.98% | +10.58% | +792.25 |
| ULTRASHORT SEMICONDU (SSG) | -37.81% | +1.01% | +75.62 |
| ULTRASHORT TECHNOLOG (REW) | -23.17% | -0.82% | -61.33 |
| ULTRASHORT UTILITIES (SDP) | +14.64% | -3.28% | -245.73 |
| PROSHARES SHR MSCI E (EUM) | -16.02% | +0.46% | +34.07 |
| PROSHARES SHORT MSCI (EFZ) | -3.54% | -0.37% | -28.02 |
| PROSHARES ULTRASHORT (EFU) | -9.11% | +0.12% | +8.81 |
| PROSHARES UTLRASHORT (EEV) | -33.04% | +1.15% | +85.76 |
| PROSHARES US MSCI JP (EWV) | +5.98% | +0.02% | +1.67 |
| PROSHARES ULTRASHORT (FXP) | -37.58% | +3.41% | +255.14 |
| ULTRA QQQ PROSHARES (QLD) | +8.93% | -0.04% | -2.89 |
| ULTRA DOW30 PROSHRS (DDM) | -14.44% | -2.23% | -166.73 |
| ULTRA S& P500 PROSHRS (SSO) | -7.08% | -2.36% | -176.91 |
| ULTRA MC400 PROSHRS (MVV) | -6.33% | -1.09% | -81.42 |
| PROSH ULTRA SMALLCAP (SAA) | -14.83% | -1.94% | -145.47 |
| ULTRA RUSSELL2000 PR (UWM) | -12.98% | -2.21% | -165.51 |
| PST ULT RUS1000 VAL (UVG) | -13.59% | -4.41% | -330.29 |
| PST ULT RSL1000 GR (UKF) | -0.72% | -0.36% | -27.22 |
| PST ULT RSL MC VALU (UVU) | -16.71% | -2.41% | -180.57 |
| PST ULT RSL MC GR PS (UKW) | +1.84% | -0.62% | -46.60 |
| PST ULT RSL2000 VALU (UVT) | -18.46% | -2.59% | -194.28 |
| PST ULT RSL2000 GR (UKK) | -6.74% | -0.70% | -52.13 |
| ULTRA BASIC MATERIAL (UYM) | +0.59% | +6.21% | +464.59 |
| ULTRA CONSUMER GOODS (UGE) | -15.85% | -1.99% | -148.69 |
| ULTRA CONSUMER SERVI (UCC) | -6.37% | -2.22% | -165.97 |
| ULTRA FINANCIALS PRO (UYG) | -6.59% | -14.14% | -1058.71 |
| ULTRA HEALTH CARE PR (RXL) | -12.85% | -3.95% | -295.59 |
| ULTRA INDUSTRIALS PR (UXI) | -24.52% | -1.25% | -93.24 |
| ULTRA OIL & GAS PROS (DIG) | -3.31% | +3.99% | +299.07 |
| ULTRA REAL ESTATE PR (URE) | -32.41% | -10.63% | -795.92 |
| ULTRA SEMICONDUCTORS (USD) | +33.04% | -1.29% | -96.35 |
| ULTRA TECHNOLOGY PRO (ROM) | +14.26% | +0.85% | +63.51 |
| ULTRA UTILITIES PROS (UPW) | -19.34% | +2.97% | +222.62 |
| Other ETFs | |||
| POWERSHARES DB BASE (BOM) | -18.30% | -15.35% | -1149.26 |
| POWERSHARES DB BASE (BDD) | +19.39% | +6.69% | +500.82 |
| POWERSHARES DB BASE (BDG) | +7.08% | +6.58% | +492.99 |
| POWERSHARES DB CRUDE (DTO) | -16.58% | -6.46% | -483.31 |
| POWERSHARES DB CRUDE (SZO) | -9.26% | -4.00% | -299.55 |
| POWERSHARES DB CRUDE (DXO) | +18.15% | +5.02% | +375.67 |
| POWERSHARES DB CRUDE (OLO) | +9.26% | +3.19% | +238.77 |
| 300% Leverage ETFs | |||
| DIREXION LARGE CAP BULL 3X SHARE (BGU) | -13.80% | -3.37% | -252.25 |
| DIREXION LARGE CAP BEAR 3X SHARE (BGZ) | -10.85% | +3.27% | +244.99 |
| DIREXION SMALL CAP BULL 3X SHARE (TNA) | -23.32% | -3.04% | -227.89 |
| DIREXION SMALL CAP BEAR 3X SHARE (TZA) | -10.51% | +3.54% | +265.33 |
| DIREXION ENERGY BULL 3X SHARES (ERX) | -12.57% | +5.20% | +389.18 |
| DIREXION ENERGY BEAR 3X SHARES (ERY) | -18.28% | -5.13% | -383.93 |
| DIREXION FINANCIAL BULL 3X SHARE (FAS) | -24.90% | -19.97% | -1495.22 |
| DIREXION FINANCIAL BEAR 3X SHARE (FAZ) | -65.51% | +15.37% | +1150.69 |
Additional stock market commentary -- for subscribers only -- can be found here: Subscriber Notes (if you're reading this in plain text format or on the blog, visit the MyClues Home Page and click on "Subscriber Notes" in the Quick Links section at the top of the page).
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· Quarter-Hourly Chart Comments
· Detailed Comments . . . .
Wednesday, March 18, 2009
Fed Signals Hyperinflationary Policy
The Fed announced it would be buying $300 Billion worth of US Treasury debt, signifying it is embarking on a major hyperinflationary policy to counteract the effects of the current depression. It also announced it would providing a Trillion Dollars' worth of financing for autos, education, credit cards and business loans.
The markets reacted to the news as you might expect: both bonds and stocks soared and the dollar plummeted. The drop in the US Dollar was especially welcome due to its extremely overvalued condition, a condition which had been a roadblock to economic recovery.
Bear market rallies are designed to fool the majority. One example is Jim Cramer, who has declared every bear market rally as the beginning of a new bull market ever since the top in 2000. Here's Cramer's latest take on why this isn't Great Depression II. Of course not, it's a Greater Depression. That earlier one was just a deflationary depression. This Greater Depression will see the stock market move to new highs because this will be a hyperinflationary depression after the current deflationary episode ends. The Fed will make it so by printing enough money to counteract the deflationary aspects. But, printing money will not revive the economy---only production will do that. The Fed is simply blowing another---and much more dangerous---bubble that will ultimately lead to the complete meltdown of the global economy in the years ahead.
Peak Oil
Most oil industry experts agree that we have passed "Peak Oil"---that point in time when half of all the recoverable oil has been obtained. The current depression has given us some years of breathing room before oil prices zoom much higher. In fact, if things work out, alternative energy will eliminate oil from the equation.
Just in case it doesn't, Jim Kingsdale has an estimate of just when oil will pop back above $100/bbl. If the depression persists---and all the data show it will---it will probably be sometime in 2012-3 before oil prices start another big rise.
The bottom line is that those who are betting that oil is about to start a new bull market had better have a long term horizon. And, if they're betting on USO, they might lose everything. That ETF is losing ground every month as the contango in the oil market eats away at value a little bit every time they roll their position to a new delivery month. USO is now trading at about twenty bucks a barrel discount to the cash price of Oil and only getting worse each month.
Stocks
The bulls continued to celebrate on Wall Street on Wednesday and stepped up their already substantial call-buying activity, pouring over five times as much money into upside bets than the bears poured into downside bets.
Change From 20 Jan 2009 and 17 Mar 2009 To 18 Mar 2009
| Security | Percentage Change From 20 Jan 2009 | Percentage Change From 17 Mar 2009 | Change in Dow Industrials Points |
|---|---|---|---|
| Dow Industrials (index) | -5.82% | +1.23% | +90.88 |
| DIAMONDS TRUST SER 1 (DIA) | -5.59% | +1.20% | +88.85 |
| ULTRA DOW30 PROSHRS (DDM) | -12.50% | +2.28% | +168.46 |
| PT ULTRSHRT DOW30 PS (DXD) | +4.03% | -2.66% | -196.84 |
| S&P 500 (index) | -1.34% | +2.10% | +155.11 |
| S& P DEP RECEIPTS (SPY) | -0.79% | +2.24% | +165.55 |
| ULTRA S& P500 PROSHRS (SSO) | -4.83% | +4.19% | +309.93 |
| PT ULTRSHRT SP500 PS (SDS) | -6.38% | -4.46% | -330.09 |
| NYSE Composite (index) | -1.64% | +2.20% | +162.80 |
| ISHARES NYSE CMP IDX (NYC) | -0.95% | +2.14% | +158.16 |
| S&P SmallCap 600 (index) | -4.82% | +3.51% | +259.28 |
| PROSH ULTRA SMALLCAP (SAA) | -13.14% | +6.74% | +498.52 |
| SHORT SMALLCAP600 PR (SBB) | +3.28% | -1.16% | -85.83 |
| ULTRASHORT SMALLCAP6 (SDD) | -1.25% | -8.14% | -601.72 |
| Russell 2000 (index) | -3.69% | +3.48% | +257.28 |
| ISHARE RUS 2000 INDX (IWM) | -3.42% | +3.46% | +255.97 |
| ULTRA RUSSELL2000 PR (UWM) | -11.02% | +7.19% | +531.60 |
| ULTRASHORT RUSSELL20 (TWM) | -5.39% | -7.18% | -531.27 |
| NASDAQ-100 (index) | +6.53% | +1.57% | +115.82 |
| POWERSHARES QQQ TR 1 (QQQQ) | +6.22% | +1.26% | +93.30 |
| ULTRA QQQ PROSHARES (QLD) | +8.97% | +2.54% | +187.53 |
| PT UTLRSHRT QQQ PS (QID) | -17.68% | -2.71% | -200.78 |
| S&P MidCap 400 (index) | -0.95% | +3.11% | +230.29 |
| ISHARE SP MC 400 INX (IJH) | -0.68% | +2.93% | +216.92 |
| ULTRA MC400 PROSHRS (MVV) | -5.30% | +5.46% | +403.92 |
| PT ULTRSHR MC400 PS (MZZ) | -8.62% | -6.21% | -458.92 |
| GREENHAVEN CONT IDX (GCC) | -0.05% | +0.95% | +70.23 |
| Amex Gold (index) | +13.75% | +9.64% | +713.13 |
| MKT VECT GOLD MNRS (GDX) | +13.57% | +10.11% | +747.70 |
| STREETTRACKS GOLD TR (GLD) | +10.14% | +3.39% | +250.52 |
| DB GOLD DBL SH ETN (DZZ) | -18.50% | -6.36% | -470.61 |
| DB GOLD DBL LG ETN (DGP) | +21.10% | +7.18% | +530.68 |
| Semiconductor Sector (index) | +14.79% | +3.44% | +254.77 |
| ULTRA SEMICONDUCTORS (USD) | +34.78% | +6.22% | +460.02 |
| ULTRASHORT SEMICONDU (SSG) | -38.43% | -5.78% | -427.44 |
| ISHARE DJ FIN SC INX (IYF) | +10.66% | +8.47% | +626.56 |
| ISHARES LEHMAN 20 YR (TLT) | -8.67% | +3.79% | +280.21 |
| ISHARESLEHMAN 7-10YR (IEF) | -0.52% | +3.43% | +253.40 |
| ISHARES LEH AGG FD (AGG) | -1.37% | +1.59% | +117.52 |
| ISHARES GS $ INVESTO (LQD) | -5.59% | +2.13% | +157.46 |
| ISHARES LEHMAN 1-3YR (SHY) | -0.46% | +0.38% | +28.22 |
| ProShares ETFs | |||
| PROSHARES ULTRASHORT LEHMAN 7-10 (PST) | -2.18% | -6.80% | -502.56 |
| PROSHARES ULTRASHORT LEHMAN 20YR (TBT) | +10.74% | -7.94% | -586.96 |
| SHORT QQQ PROSHARES (PSQ) | -8.28% | -1.25% | -92.69 |
| SHRT DOW30 PROSHARES (DOG) | +3.04% | -1.22% | -90.39 |
| SHRT S& P500 PROSHRS (SH) | -1.94% | -2.14% | -158.12 |
| SHRT MC400 PROSHARES (MYY) | -2.83% | -3.30% | -243.71 |
| SHORT SMALLCAP600 PR (SBB) | +3.28% | -1.16% | -85.83 |
| SHORT RUSSELL2000 PR (RWM) | -0.81% | -3.46% | -255.99 |
| PT UTLRSHRT QQQ PS (QID) | -17.68% | -2.71% | -200.78 |
| PT ULTRSHRT DOW30 PS (DXD) | +4.03% | -2.66% | -196.84 |
| PT ULTRSHRT SP500 PS (SDS) | -6.38% | -4.46% | -330.09 |
| PT ULTRSHR MC400 PS (MZZ) | -8.62% | -6.21% | -458.92 |
| ULTRASHORT SMALLCAP6 (SDD) | -1.25% | -8.14% | -601.72 |
| ULTRASHORT RUSSELL20 (TWM) | -5.39% | -7.18% | -531.27 |
| PST ULSHT RSL1K VALU (SJF) | -4.78% | -6.39% | -472.84 |
| PST ULSHT RSL1K GR (SFK) | -9.51% | -3.17% | -234.41 |
| PST ULSHT RSL MC VAL (SJL) | +1.10% | -9.85% | -728.32 |
| PST ULSHT RSL MC GR (SDK) | -13.10% | -4.41% | -326.34 |
| PST ULTSHT RSL2K VAL (SJH) | -2.37% | -9.62% | -711.12 |
| PST ULSHT RSL2K GR (SKK) | -8.25% | -6.81% | -503.44 |
| ULTRASHORT BASIC MAT (SMN) | -13.42% | -6.63% | -490.03 |
| ULTRASHORT CONSUMER (SZK) | +8.88% | -0.75% | -55.27 |
| ULTRASHORT CONSUMER (SCC) | -5.96% | -4.19% | -309.69 |
| ULTRASHORT FINANCIAL (SKF) | -47.02% | -17.40% | -1286.96 |
| ULTRASHORT HEALTH CA (RXD) | +3.04% | +0.14% | +10.36 |
| ULTRASHORT INDUSTRIA (SIJ) | +11.40% | -4.33% | -320.14 |
| ULTRASHORT OIL & GAS (DUG) | -7.02% | -1.81% | -134.16 |
| ULTRASHORT REAL ESTA (SRS) | -22.21% | -9.54% | -705.56 |
| ULTRASHORT SEMICONDU (SSG) | -38.43% | -5.78% | -427.44 |
| ULTRASHORT TECHNOLOG (REW) | -22.53% | -3.60% | -266.52 |
| ULTRASHORT UTILITIES (SDP) | +18.54% | -5.69% | -420.59 |
| PROSHARES SHR MSCI E (EUM) | -16.40% | -1.85% | -136.98 |
| PROSHARES SHORT MSCI (EFZ) | -3.18% | -2.81% | -207.72 |
| PROSHARES ULTRASHORT (EFU) | -9.22% | -5.95% | -440.00 |
| PROSHARES UTLRASHORT (EEV) | -33.80% | -4.73% | -349.76 |
| PROSHARES US MSCI JP (EWV) | +5.96% | -5.82% | -430.38 |
| PROSHARES ULTRASHORT (FXP) | -39.63% | -1.87% | -138.21 |
| ULTRA QQQ PROSHARES (QLD) | +8.97% | +2.54% | +187.53 |
| ULTRA DOW30 PROSHRS (DDM) | -12.50% | +2.28% | +168.46 |
| ULTRA S& P500 PROSHRS (SSO) | -4.83% | +4.19% | +309.93 |
| ULTRA MC400 PROSHRS (MVV) | -5.30% | +5.46% | +403.92 |
| PROSH ULTRA SMALLCAP (SAA) | -13.14% | +6.74% | +498.52 |
| ULTRA RUSSELL2000 PR (UWM) | -11.02% | +7.19% | +531.60 |
| PST ULT RUS1000 VAL (UVG) | -9.60% | +5.97% | +441.82 |
| PST ULT RSL1000 GR (UKF) | -0.36% | +2.07% | +152.93 |
| PST ULT RSL MC VALU (UVU) | -14.65% | +8.02% | +592.84 |
| PST ULT RSL MC GR PS (UKW) | +2.48% | +4.86% | +359.33 |
| PST ULT RSL2000 VALU (UVT) | -16.29% | +9.10% | +673.02 |
| PST ULT RSL2000 GR (UKK) | -6.08% | +5.82% | +430.55 |
| ULTRA BASIC MATERIAL (UYM) | -5.29% | +7.74% | +572.16 |
| ULTRA CONSUMER GOODS (UGE) | -14.15% | +1.19% | +88.08 |
| ULTRA CONSUMER SERVI (UCC) | -4.25% | +4.51% | +333.43 |
| ULTRA FINANCIALS PRO (UYG) | +8.79% | +16.47% | +1218.12 |
| ULTRA HEALTH CARE PR (RXL) | -9.27% | -0.07% | -4.90 |
| ULTRA INDUSTRIALS PR (UXI) | -23.57% | +3.88% | +287.05 |
| ULTRA OIL & GAS PROS (DIG) | -7.02% | +2.11% | +155.80 |
| ULTRA REAL ESTATE PR (URE) | -24.37% | +8.66% | +640.78 |
| ULTRA SEMICONDUCTORS (USD) | +34.78% | +6.22% | +460.02 |
| ULTRA TECHNOLOGY PRO (ROM) | +13.29% | +3.31% | +244.84 |
| ULTRA UTILITIES PROS (UPW) | -21.67% | +5.41% | +400.11 |
| Other ETFs | |||
| POWERSHARES DB BASE (BOM) | -3.48% | +6.86% | +507.42 |
| POWERSHARES DB BASE (BDD) | +11.90% | +4.48% | +331.35 |
| POWERSHARES DB BASE (BOS) | -1.51% | +2.15% | +159.22 |
| POWERSHARES DB BASE (BDG) | +0.46% | -0.76% | -56.20 |
| POWERSHARES DB CRUDE (DTO) | -10.82% | -2.47% | -182.58 |
| POWERSHARES DB CRUDE (SZO) | -5.48% | -0.62% | -46.05 |
| POWERSHARES DB CRUDE (DXO) | +12.50% | +2.95% | +218.32 |
| POWERSHARES DB CRUDE (OLO) | +5.88% | +1.99% | +147.45 |
| 300% Leverage ETFs | |||
| DIREXION LARGE CAP BULL 3X SHARE (BGU) | -10.79% | +7.03% | +519.72 |
| DIREXION LARGE CAP BEAR 3X SHARE (BGZ) | -13.67% | -7.12% | -526.22 |
| DIREXION SMALL CAP BULL 3X SHARE (TNA) | -20.91% | +10.53% | +778.74 |
| DIREXION SMALL CAP BEAR 3X SHARE (TZA) | -13.57% | -10.97% | -811.07 |
| DIREXION ENERGY BULL 3X SHARES (ERX) | -16.89% | +2.69% | +198.91 |
| DIREXION ENERGY BEAR 3X SHARES (ERY) | -13.87% | -3.15% | -232.89 |
| DIREXION FINANCIAL BULL 3X SHARE (FAS) | -6.16% | +27.63% | +2043.37 |
| DIREXION FINANCIAL BEAR 3X SHARE (FAZ) | -70.11% | -25.96% | -1920.10 |
Additional stock market commentary -- for subscribers only -- can be found here: Subscriber Notes (if you're reading this in plain text format or on the blog, visit the MyClues Home Page and click on "Subscriber Notes" in the Quick Links section at the top of the page).
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· Quarter-Hourly Chart Comments
· Detailed Comments . . . .
Bear Market Rally Sizzle
The shorts were premature as we warned subscribers yesterday and today the market had some more sizzle to the upside. Option players have been right and buying massive amounts of call options in the last few days. They know that option writers tend to push stock prices up going into expiration this Friday and this month was no exception to the rule. There are months when it doesn't happen, but this month was---thankfully---not one of them.
Some media blamed the rally on the 22% jump in new home construction permits, but when you have numbers that are close to zero, any sign of life will produce large percentage changes. Unfortunately, business math isn't a required subject for the media.
In any case, the bulls are sitting pretty as the market has had one of its biggest rallies, percentage-wise, in quite a while:
Change From 20 Jan 2009 and 16 Mar 2009 To 17 Mar 2009
| Security | Percentage Change From 20 Jan 2009 | Percentage Change From 16 Mar 2009 | Change in Dow Industrials Points |
|---|---|---|---|
| Dow Industrials (index) | -6.96% | +2.48% | +178.73 |
| DIAMONDS TRUST SER 1 (DIA) | -6.71% | +2.45% | +176.66 |
| ULTRA DOW30 PROSHRS (DDM) | -14.44% | +5.17% | +372.88 |
| PT ULTRSHRT DOW30 PS (DXD) | +6.88% | -4.88% | -352.37 |
| S&P 500 (index) | -3.44% | +3.02% | +218.22 |
| S& P DEP RECEIPTS (SPY) | -2.97% | +3.06% | +220.71 |
| ULTRA S& P500 PROSHRS (SSO) | -8.66% | +6.00% | +432.78 |
| PT ULTRSHRT SP500 PS (SDS) | -2.00% | -6.07% | -437.92 |
| NYSE Composite (index) | -3.75% | +2.94% | +212.48 |
| ISHARES NYSE CMP IDX (NYC) | -3.02% | +3.03% | +218.65 |
| S&P SmallCap 600 (index) | -8.04% | +3.97% | +286.76 |
| PROSH ULTRA SMALLCAP (SAA) | -18.63% | +7.83% | +564.91 |
| SHORT SMALLCAP600 PR (SBB) | +4.49% | -4.92% | -355.28 |
| ULTRASHORT SMALLCAP6 (SDD) | +7.50% | -7.33% | -529.36 |
| Russell 2000 (index) | -6.93% | +4.46% | +321.85 |
| ISHARE RUS 2000 INDX (IWM) | -6.65% | +4.63% | +334.15 |
| ULTRA RUSSELL2000 PR (UWM) | -16.98% | +9.04% | +652.70 |
| ULTRASHORT RUSSELL20 (TWM) | +1.93% | -9.61% | -693.63 |
| NASDAQ-100 (index) | +4.81% | +3.47% | +250.55 |
| POWERSHARES QQQ TR 1 (QQQQ) | +4.90% | +3.79% | +273.25 |
| ULTRA QQQ PROSHARES (QLD) | +6.27% | +7.54% | +544.27 |
| PT UTLRSHRT QQQ PS (QID) | -15.38% | -7.47% | -538.90 |
| S&P MidCap 400 (index) | -3.94% | +3.65% | +263.22 |
| ISHARE SP MC 400 INX (IJH) | -3.51% | +3.87% | +279.24 |
| ULTRA MC400 PROSHRS (MVV) | -10.20% | +8.34% | +602.13 |
| PT ULTRSHR MC400 PS (MZZ) | -2.57% | -7.34% | -529.68 |
| GREENHAVEN CONT IDX (GCC) | -0.99% | +0.19% | +13.73 |
| Amex Gold (index) | +3.75% | -1.64% | -118.56 |
| MKT VECT GOLD MNRS (GDX) | +3.14% | -2.18% | -157.37 |
| STREETTRACKS GOLD TR (GLD) | +6.53% | -0.84% | -60.41 |
| DB GOLD DBL SH ETN (DZZ) | -12.96% | +1.57% | +113.37 |
| DB GOLD DBL LG ETN (DGP) | +13.00% | -1.75% | -126.30 |
| Semiconductor Sector (index) | +10.97% | +4.12% | +297.65 |
| ULTRA SEMICONDUCTORS (USD) | +26.89% | +7.34% | +529.49 |
| ULTRASHORT SEMICONDU (SSG) | -34.66% | -8.59% | -619.87 |
| ISHARE DJ FIN SC INX (IYF) | +2.02% | +6.02% | +434.56 |
| ISHARES LEHMAN 20 YR (TLT) | -12.01% | -0.54% | -39.26 |
| ISHARESLEHMAN 7-10YR (IEF) | -3.82% | -0.19% | -13.80 |
| ISHARES LEH AGG FD (AGG) | -2.91% | -0.30% | -21.57 |
| ISHARES GS $ INVESTO (LQD) | -7.56% | -0.27% | -19.45 |
| ISHARES LEHMAN 1-3YR (SHY) | -0.84% | -0.02% | -1.72 |
| ProShares ETFs | |||
| PROSHARES ULTRASHORT LEHMAN 7-10 (PST) | +4.96% | +0.31% | +22.18 |
| PROSHARES ULTRASHORT LEHMAN 20YR (TBT) | +20.28% | +1.19% | +85.81 |
| SHORT QQQ PROSHARES (PSQ) | -7.11% | -3.73% | -268.98 |
| SHRT DOW30 PROSHARES (DOG) | +4.32% | -2.40% | -173.07 |
| SHRT S& P500 PROSHRS (SH) | +0.20% | -2.96% | -213.29 |
| SHRT MC400 PROSHARES (MYY) | +0.48% | -3.26% | -235.62 |
| SHORT SMALLCAP600 PR (SBB) | +4.49% | -4.92% | -355.28 |
| SHORT RUSSELL2000 PR (RWM) | +2.75% | -4.54% | -327.88 |
| PT UTLRSHRT QQQ PS (QID) | -15.38% | -7.47% | -538.90 |
| PT ULTRSHRT DOW30 PS (DXD) | +6.88% | -4.88% | -352.37 |
| PT ULTRSHRT SP500 PS (SDS) | -2.00% | -6.07% | -437.92 |
| PT ULTRSHR MC400 PS (MZZ) | -2.57% | -7.34% | -529.68 |
| ULTRASHORT SMALLCAP6 (SDD) | +7.50% | -7.33% | -529.36 |
| ULTRASHORT RUSSELL20 (TWM) | +1.93% | -9.61% | -693.63 |
| PST ULSHT RSL1K VALU (SJF) | +1.72% | -6.94% | -500.56 |
| PST ULSHT RSL1K GR (SFK) | -6.55% | -5.63% | -406.25 |
| PST ULSHT RSL MC VAL (SJL) | +12.14% | -4.49% | -324.14 |
| PST ULSHT RSL MC GR (SDK) | -9.09% | -6.08% | -438.88 |
| PST ULTSHT RSL2K VAL (SJH) | +8.02% | -9.04% | -652.59 |
| PST ULSHT RSL2K GR (SKK) | -1.55% | -7.40% | -534.29 |
| ULTRASHORT BASIC MAT (SMN) | -7.28% | -0.63% | -45.59 |
| ULTRASHORT CONSUMER (SZK) | +9.70% | -3.18% | -229.16 |
| ULTRASHORT CONSUMER (SCC) | -1.85% | -7.90% | -570.49 |
| ULTRASHORT FINANCIAL (SKF) | -35.86% | -11.66% | -841.76 |
| ULTRASHORT HEALTH CA (RXD) | +2.90% | -3.24% | -233.65 |
| ULTRASHORT INDUSTRIA (SIJ) | +16.44% | -5.25% | -378.82 |
| ULTRASHORT OIL & GAS (DUG) | -5.30% | -7.13% | -514.23 |
| ULTRASHORT REAL ESTA (SRS) | -14.01% | -15.09% | -1089.24 |
| ULTRASHORT SEMICONDU (SSG) | -34.66% | -8.59% | -619.87 |
| ULTRASHORT TECHNOLOG (REW) | -19.64% | -7.16% | -516.60 |
| ULTRASHORT UTILITIES (SDP) | +25.68% | -3.73% | -269.44 |
| PROSHARES SHR MSCI E (EUM) | -14.82% | -2.36% | -170.31 |
| PROSHARES SHORT MSCI (EFZ) | -0.38% | -2.71% | -195.78 |
| PROSHARES ULTRASHORT (EFU) | -3.48% | -5.55% | -400.33 |
| PROSHARES UTLRASHORT (EEV) | -30.51% | -4.01% | -289.09 |
| PROSHARES US MSCI JP (EWV) | +12.50% | -5.79% | -417.81 |
| PROSHARES ULTRASHORT (FXP) | -38.48% | -2.96% | -213.55 |
| ULTRA QQQ PROSHARES (QLD) | +6.27% | +7.54% | +544.27 |
| ULTRA DOW30 PROSHRS (DDM) | -14.44% | +5.17% | +372.88 |
| ULTRA S& P500 PROSHRS (SSO) | -8.66% | +6.00% | +432.78 |
| ULTRA MC400 PROSHRS (MVV) | -10.20% | +8.34% | +602.13 |
| PROSH ULTRA SMALLCAP (SAA) | -18.63% | +7.83% | +564.91 |
| ULTRA RUSSELL2000 PR (UWM) | -16.98% | +9.04% | +652.70 |
| PST ULT RUS1000 VAL (UVG) | -14.70% | +7.54% | +544.30 |
| PST ULT RSL1000 GR (UKF) | -2.38% | +6.07% | +438.38 |
| PST ULT RSL MC VALU (UVU) | -20.98% | +6.74% | +486.28 |
| PST ULT RSL MC GR PS (UKW) | -2.27% | +5.91% | +426.81 |
| PST ULT RSL2000 VALU (UVT) | -23.27% | +9.28% | +669.86 |
| PST ULT RSL2000 GR (UKK) | -11.25% | +7.96% | +574.14 |
| ULTRA BASIC MATERIAL (UYM) | -12.09% | +1.06% | +76.63 |
| ULTRA CONSUMER GOODS (UGE) | -15.16% | +1.51% | +109.06 |
| ULTRA CONSUMER SERVI (UCC) | -8.38% | +7.18% | +518.27 |
| ULTRA FINANCIALS PRO (UYG) | -6.59% | +11.84% | +854.64 |
| ULTRA HEALTH CARE PR (RXL) | -9.21% | +3.25% | +234.72 |
| ULTRA INDUSTRIALS PR (UXI) | -26.43% | +4.78% | +345.31 |
| ULTRA OIL & GAS PROS (DIG) | -8.94% | +6.85% | +494.27 |
| ULTRA REAL ESTATE PR (URE) | -30.40% | +15.90% | +1147.47 |
| ULTRA SEMICONDUCTORS (USD) | +26.89% | +7.34% | +529.49 |
| ULTRA TECHNOLOGY PRO (ROM) | +9.66% | +7.31% | +527.89 |
| ULTRA UTILITIES PROS (UPW) | -25.69% | +3.51% | +253.40 |
| Other ETFs | |||
| POWERSHARES DB BASE (BOM) | -9.68% | +0.68% | +48.72 |
| POWERSHARES DB BASE (BDD) | +7.10% | -3.29% | -237.65 |
| POWERSHARES DB BASE (BOS) | -3.58% | +2.18% | +157.00 |
| POWERSHARES DB BASE (BDG) | +1.23% | -0.98% | -70.59 |
| POWERSHARES DB CRUDE (DTO) | -8.57% | -8.74% | -630.83 |
| POWERSHARES DB CRUDE (SZO) | -4.89% | -4.50% | -324.76 |
| POWERSHARES DB CRUDE (DXO) | +9.27% | +8.84% | +637.64 |
| POWERSHARES DB CRUDE (OLO) | +3.81% | +4.73% | +341.02 |
| 300% Leverage ETFs | |||
| DIREXION LARGE CAP BULL 3X SHARE (BGU) | -16.65% | +9.08% | +655.10 |
| DIREXION LARGE CAP BEAR 3X SHARE (BGZ) | -7.06% | -8.89% | -641.39 |
| DIREXION SMALL CAP BULL 3X SHARE (TNA) | -28.44% | +14.15% | +1021.46 |
| DIREXION SMALL CAP BEAR 3X SHARE (TZA) | -2.93% | -13.65% | -985.14 |
| DIREXION ENERGY BULL 3X SHARES (ERX) | -19.06% | +9.90% | +714.26 |
| DIREXION ENERGY BEAR 3X SHARES (ERY) | -11.07% | -10.08% | -727.68 |
| DIREXION FINANCIAL BULL 3X SHARE (FAS) | -26.47% | +15.20% | +1096.62 |
| DIREXION FINANCIAL BEAR 3X SHARE (FAZ) | -59.63% | -16.51% | -1191.82 |
Additional stock market commentary -- for subscribers only -- can be found here: Subscriber Notes (if you're reading this in plain text format or on the blog, visit the MyClues Home Page and click on "Subscriber Notes" in the Quick Links section at the top of the page).
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· Quarter-Hourly Chart Comments
· Detailed Comments . . . .
Tuesday, March 17, 2009
Looting the Treasury
Or, A Comedy of Financial Justice
The Chinese curse you by saying, "May you live in interesting times." We are definitely living in the most interesting---and the most sordid---time in history right now. The criminals have taken control of the American government and you just have to have a sense of humor and realize that crime really does pay. It pays very, very well. And, the American public still doesn't realize it's been had.
The politicians and bankers claim this "recession" was just the natural result of a lot of people making bad decisions, not committing crimes.
We have one word for that: Hogwash. Okay, two words, how about Balderdash?
This was a carefully constructed plot to loot the US Treasury by a conspiracy of criminals who knew exactly what they were doing.
Don't believe it? Thanks to one helpful reader, we found the original plan. It was written in 1994 by a Nobel prize-winning economist from Berkeley (George A. Akerlof) and a Stanford economist (Paul M. Romer). The plan was entitled, Looting: The Economic Underworld of Bankruptcy for Profit. A better title might have been, Looting the Treasury For Dummies. It was commissioned by the National Bureau of Economic Research (NBER), the agency which dates recessions. By following this government-supported agency's script, organized crime was able to transfer trillions of dollars in taxpayer money into their own hands, leaving the entire planet reeling and its economy in shambles. It's the greatest robbery in human history.
So, where are the perp walks?
You will never, ever see these criminals brought to justice. They are immune from justice. Justice does not exist for these people because they are above the law. Those who have the gold make the laws. The first law exempts them from having to abide by the other laws.
What does that make American taxpayers? "Suckers" seems to be the appropriate moniker, although the carney might refer to them as simply "marks".
Your typical mark will oppose nationalization of the banks because they have been carefully socialized in government schools to believe in the sanctity of "free markets". Marks will never learn the lessons of history. They and their children and grandchildren will be forever doomed to play the part of the sucker, over and over, ad infinitum.
The moral of the story: If you don't want to be a mark, become a looter. Let somebody else work hard all their lives so you can steal their money. It's all legal according to the government.
Change From 20 Jan 2009 and 13 Mar 2009 To 16 Mar 2009
| Security | Percentage Change From 20 Jan 2009 | Percentage Change From 13 Mar 2009 | Change in Dow Industrials Points |
|---|---|---|---|
| Dow Industrials (index) | -9.21% | -0.10% | -7.01 |
| DIAMONDS TRUST SER 1 (DIA) | -8.94% | -0.01% | -1.00 |
| ULTRA DOW30 PROSHRS (DDM) | -18.65% | -0.23% | -16.93 |
| PT ULTRSHRT DOW30 PS (DXD) | +12.36% | +0.21% | +15.10 |
| S&P 500 (index) | -6.27% | -0.31% | -22.42 |
| S& P DEP RECEIPTS (SPY) | -5.85% | -0.30% | -21.84 |
| ULTRA S& P500 PROSHRS (SSO) | -13.83% | -0.39% | -27.97 |
| PT ULTRSHRT SP500 PS (SDS) | +4.33% | +0.43% | +31.22 |
| NYSE Composite (index) | -6.51% | +0.17% | +12.10 |
| ISHARES NYSE CMP IDX (NYC) | -5.88% | +0.21% | +14.95 |
| S&P SmallCap 600 (index) | -11.56% | -1.48% | -106.70 |
| PROSH ULTRA SMALLCAP (SAA) | -24.53% | -3.02% | -218.23 |
| SHORT SMALLCAP600 PR (SBB) | +9.90% | +1.84% | +133.22 |
| ULTRASHORT SMALLCAP6 (SDD) | +16.01% | +2.65% | +191.41 |
| Russell 2000 (index) | -10.91% | -1.71% | -123.68 |
| ISHARE RUS 2000 INDX (IWM) | -10.78% | -1.80% | -130.28 |
| ULTRA RUSSELL2000 PR (UWM) | -23.87% | -3.73% | -269.55 |
| ULTRASHORT RUSSELL20 (TWM) | +12.77% | +3.96% | +286.21 |
| NASDAQ-100 (index) | +1.30% | -1.54% | -111.38 |
| POWERSHARES QQQ TR 1 (QQQQ) | +1.07% | -1.67% | -120.65 |
| ULTRA QQQ PROSHARES (QLD) | -1.18% | -3.65% | -263.93 |
| PT UTLRSHRT QQQ PS (QID) | -8.56% | +3.57% | +257.95 |
| S&P MidCap 400 (index) | -7.32% | -1.43% | -102.97 |
| ISHARE SP MC 400 INX (IJH) | -7.11% | -1.47% | -106.05 |
| ULTRA MC400 PROSHRS (MVV) | -17.12% | -3.21% | -231.70 |
| PT ULTRSHR MC400 PS (MZZ) | +5.14% | +2.74% | +197.99 |
| GREENHAVEN CONT IDX (GCC) | -1.18% | +1.15% | +83.43 |
| Amex Gold (index) | +5.48% | -1.26% | -90.75 |
| MKT VECT GOLD MNRS (GDX) | +5.44% | -1.57% | -113.56 |
| STREETTRACKS GOLD TR (GLD) | +7.43% | -0.55% | -39.56 |
| DB GOLD DBL SH ETN (DZZ) | -14.31% | +1.00% | +72.04 |
| DB GOLD DBL LG ETN (DGP) | +15.01% | -1.19% | -85.66 |
| Semiconductor Sector (index) | +6.58% | -3.61% | -260.92 |
| ULTRA SEMICONDUCTORS (USD) | +18.21% | -5.67% | -409.94 |
| ULTRASHORT SEMICONDU (SSG) | -28.52% | +5.86% | +423.37 |
| ISHARE DJ FIN SC INX (IYF) | -3.78% | -2.40% | -173.56 |
| ISHARES LEHMAN 20 YR (TLT) | -11.52% | -1.58% | -113.92 |
| ISHARESLEHMAN 7-10YR (IEF) | -3.63% | -0.56% | -40.43 |
| ISHARES LEH AGG FD (AGG) | -2.62% | -0.31% | -22.25 |
| ISHARES GS $ INVESTO (LQD) | -7.31% | +0.14% | +10.14 |
| ISHARES LEHMAN 1-3YR (SHY) | -0.82% | -0.13% | -9.46 |
| ProShares ETFs | |||
| PROSHARES ULTRASHORT LEHMAN 7-10 (PST) | +4.63% | +0.97% | +69.89 |
| PROSHARES ULTRASHORT LEHMAN 20YR (TBT) | +18.87% | +2.79% | +201.35 |
| SHORT QQQ PROSHARES (PSQ) | -3.52% | +1.68% | +121.12 |
| SHRT DOW30 PROSHARES (DOG) | +6.88% | -0.09% | -6.28 |
| SHRT S& P500 PROSHRS (SH) | +3.25% | +0.21% | +14.84 |
| SHRT MC400 PROSHARES (MYY) | +3.87% | +1.14% | +82.65 |
| SHORT SMALLCAP600 PR (SBB) | +9.90% | +1.84% | +133.22 |
| SHORT RUSSELL2000 PR (RWM) | +7.64% | +1.89% | +136.34 |
| PT UTLRSHRT QQQ PS (QID) | -8.56% | +3.57% | +257.95 |
| PT ULTRSHRT DOW30 PS (DXD) | +12.36% | +0.21% | +15.10 |
| PT ULTRSHRT SP500 PS (SDS) | +4.33% | +0.43% | +31.22 |
| PT ULTRSHR MC400 PS (MZZ) | +5.14% | +2.74% | +197.99 |
| ULTRASHORT SMALLCAP6 (SDD) | +16.01% | +2.65% | +191.41 |
| ULTRASHORT RUSSELL20 (TWM) | +12.77% | +3.96% | +286.21 |
| PST ULSHT RSL1K VALU (SJF) | +9.31% | +0.44% | +32.07 |
| PST ULSHT RSL1K GR (SFK) | -0.97% | +0.95% | +68.42 |
| PST ULSHT RSL MC VAL (SJL) | +17.41% | +1.97% | +142.07 |
| PST ULSHT RSL MC GR (SDK) | -3.20% | +1.90% | +137.41 |
| PST ULTSHT RSL2K VAL (SJH) | +18.75% | +3.92% | +283.41 |
| PST ULSHT RSL2K GR (SKK) | +6.32% | +3.29% | +237.94 |
| ULTRASHORT BASIC MAT (SMN) | -6.69% | -1.29% | -93.55 |
| ULTRASHORT CONSUMER (SZK) | +13.30% | -1.84% | -133.25 |
| ULTRASHORT CONSUMER (SCC) | +6.57% | +2.71% | +195.74 |
| ULTRASHORT FINANCIAL (SKF) | -27.39% | +4.19% | +303.04 |
| ULTRASHORT HEALTH CA (RXD) | +6.34% | +2.25% | +162.39 |
| ULTRASHORT INDUSTRIA (SIJ) | +22.89% | -1.42% | -102.58 |
| ULTRASHORT OIL & GAS (DUG) | +1.97% | -1.28% | -92.62 |
| ULTRASHORT REAL ESTA (SRS) | +1.28% | +15.90% | +1148.93 |
| ULTRASHORT SEMICONDU (SSG) | -28.52% | +5.86% | +423.37 |
| ULTRASHORT TECHNOLOG (REW) | -13.44% | +3.16% | +228.48 |
| ULTRASHORT UTILITIES (SDP) | +30.56% | -4.48% | -323.48 |
| PROSHARES SHR MSCI E (EUM) | -12.77% | -0.28% | -20.33 |
| PROSHARES SHORT MSCI (EFZ) | +2.40% | -1.41% | -102.20 |
| PROSHARES ULTRASHORT (EFU) | +2.19% | -2.20% | -159.03 |
| PROSHARES UTLRASHORT (EEV) | -27.61% | -0.10% | -7.41 |
| PROSHARES US MSCI JP (EWV) | +19.42% | -3.22% | -232.47 |
| PROSHARES ULTRASHORT (FXP) | -36.61% | -4.21% | -303.84 |
| ULTRA QQQ PROSHARES (QLD) | -1.18% | -3.65% | -263.93 |
| ULTRA DOW30 PROSHRS (DDM) | -18.65% | -0.23% | -16.93 |
| ULTRA S& P500 PROSHRS (SSO) | -13.83% | -0.39% | -27.97 |
| ULTRA MC400 PROSHRS (MVV) | -17.12% | -3.21% | -231.70 |
| PROSH ULTRA SMALLCAP (SAA) | -24.53% | -3.02% | -218.23 |
| ULTRA RUSSELL2000 PR (UWM) | -23.87% | -3.73% | -269.55 |
| PST ULT RUS1000 VAL (UVG) | -20.68% | -1.01% | -73.24 |
| PST ULT RSL1000 GR (UKF) | -7.97% | -0.95% | -68.42 |
| PST ULT RSL MC VALU (UVU) | -25.97% | -1.99% | -143.87 |
| PST ULT RSL MC GR PS (UKW) | -7.73% | -1.44% | -103.90 |
| PST ULT RSL2000 VALU (UVT) | -29.79% | -4.33% | -313.09 |
| PST ULT RSL2000 GR (UKK) | -17.79% | -3.97% | -286.97 |
| ULTRA BASIC MATERIAL (UYM) | -13.01% | +1.57% | +113.32 |
| ULTRA CONSUMER GOODS (UGE) | -16.42% | +2.88% | +207.76 |
| ULTRA CONSUMER SERVI (UCC) | -14.52% | -2.61% | -188.86 |
| ULTRA FINANCIALS PRO (UYG) | -16.48% | -3.39% | -244.88 |
| ULTRA HEALTH CARE PR (RXL) | -12.07% | -2.67% | -192.58 |
| ULTRA INDUSTRIALS PR (UXI) | -29.79% | +1.37% | +99.28 |
| ULTRA OIL & GAS PROS (DIG) | -14.78% | +1.11% | +80.46 |
| ULTRA REAL ESTATE PR (URE) | -39.95% | -15.25% | -1101.53 |
| ULTRA SEMICONDUCTORS (USD) | +18.21% | -5.67% | -409.94 |
| ULTRA TECHNOLOGY PRO (ROM) | +2.19% | -3.28% | -237.27 |
| ULTRA UTILITIES PROS (UPW) | -28.21% | +4.60% | +332.48 |
| Other ETFs | |||
| POWERSHARES DB BASE (BOM) | -10.28% | -6.61% | -477.64 |
| POWERSHARES DB BASE (BDD) | +10.75% | +7.65% | +552.58 |
| POWERSHARES DB BASE (BOS) | -5.63% | -4.39% | -317.21 |
| POWERSHARES DB BASE (BDG) | +2.23% | +2.70% | +195.39 |
| POWERSHARES DB CRUDE (DTO) | +0.19% | -4.18% | -301.78 |
| POWERSHARES DB CRUDE (SZO) | -0.40% | -1.63% | -118.11 |
| POWERSHARES DB CRUDE (DXO) | +0.40% | +2.89% | +208.96 |
| POWERSHARES DB CRUDE (OLO) | -0.87% | +1.34% | +96.53 |
| 300% Leverage ETFs | |||
| DIREXION LARGE CAP BULL 3X SHARE (BGU) | -23.58% | -1.25% | -89.94 |
| DIREXION LARGE CAP BEAR 3X SHARE (BGZ) | +2.00% | +1.40% | +101.44 |
| DIREXION SMALL CAP BULL 3X SHARE (TNA) | -37.32% | -6.70% | -484.15 |
| DIREXION SMALL CAP BEAR 3X SHARE (TZA) | +12.42% | +5.70% | +412.04 |
| DIREXION ENERGY BULL 3X SHARES (ERX) | -26.35% | +2.43% | +175.63 |
| DIREXION ENERGY BEAR 3X SHARES (ERY) | -1.09% | -2.18% | -157.79 |
| DIREXION FINANCIAL BULL 3X SHARE (FAS) | -36.17% | -5.44% | -392.76 |
| DIREXION FINANCIAL BEAR 3X SHARE (FAZ) | -51.64% | +6.04% | +436.67 |
Additional stock market commentary -- for subscribers only -- can be found here: Subscriber Notes (if you're reading this in plain text format or on the blog, visit the MyClues Home Page and click on "Subscriber Notes" in the Quick Links section at the top of the page).
Is Your ISP Censoring Your Email? Internet email is dying, being choked to death by spam and overzealous service providers. If you're not getting these updates via email and you should be, switch to RSS, the spam-free alternative. For instructions, just visit: http://www.marketclues.net/rss.html.
Subscriber Links: MyClues Home
· Quarter-Hourly Chart Comments
· Detailed Comments . . . .
Sunday, March 15, 2009
Depression Continues, But Stocks Soar
As Jay Leno said on the Tonight Show Friday evening, "It was a great week and a great Friday the 13th: the stock market went up and Madoff went down!"
Bear market rallies like we saw last week are a welcome sight for traders, but probably don't bring back a lot of confidence to investors. After all, a 10-20% rally after losing 50-60% is not a lot to celebrate. But, we did line the pockets of traders last week and although the rally won't last, it did cheer some.
If you believe the option sentiment figures, traders got very bullish last week. The OEX traders ended pouring more than three times as much money into upside options as downside ones. And, the ISEE Sentiment Index showed that traders were ready for the Tuesday kickoff to the rally as that call-put index closed Monday at 220. At least traders are making money and celebrating this market.
Some of the call buying was from the bears as they hedged their short stock positions by protecting them with call options. Instead of letting a rally in a bear market kick them out of shorts, they simply locked in gains by buying calls. A similar strategy for bulls in bull markets is used: when stock gains are to be protected, put options are purchased as "fire insurance" to protect those gains. The high proportion of call purchases is indicative of bearish trader sentiment and should not be misinterpreted as a sign that the crowd is growing bullish---despite the banks' profession of profitability, the truth is simple: they aren't.
Of course, when the economy bottoms in this depression, the bankers are going to make a lot of money. Their cost of printing money is zero and they charge usurious rates for borrowers. It's almost the world's oldest profession, which is why the bankers own the government. Don't believe it? Just look at the trillions of your tax dollars the bankers are able to seize when they need it.
Friday's market didn't see much profit-taking and we may see some follow-through this week after the G-20 meeting this weekend seems to be garnering some optimism.
Change From 20 Jan 2009 and 12 Mar 2009 To 13 Mar 2009
| Security | Percentage Change From 20 Jan 2009 | Percentage Change From 12 Mar 2009 | Change in Dow Industrials Points |
|---|---|---|---|
| Dow Industrials (index) | -9.12% | +0.75% | +53.92 |
| DIAMONDS TRUST SER 1 (DIA) | -8.93% | +0.77% | +54.95 |
| ULTRA DOW30 PROSHRS (DDM) | -18.46% | +1.67% | +119.56 |
| PT ULTRSHRT DOW30 PS (DXD) | +12.13% | -1.86% | -133.40 |
| S&P 500 (index) | -5.98% | +0.84% | +60.46 |
| S& P DEP RECEIPTS (SPY) | -5.56% | +0.78% | +56.03 |
| ULTRA S& P500 PROSHRS (SSO) | -13.49% | +1.63% | +116.88 |
| PT ULTRSHRT SP500 PS (SDS) | +3.88% | -1.57% | -112.61 |
| NYSE Composite (index) | -6.66% | +0.77% | +55.11 |
| ISHARES NYSE CMP IDX (NYC) | -6.07% | +0.93% | +66.57 |
| S&P SmallCap 600 (index) | -10.23% | +0.98% | +70.25 |
| PROSH ULTRA SMALLCAP (SAA) | -22.18% | +2.87% | +205.67 |
| SHORT SMALLCAP600 PR (SBB) | +7.91% | -1.50% | -107.85 |
| ULTRASHORT SMALLCAP6 (SDD) | +13.01% | -2.89% | -207.54 |
| Russell 2000 (index) | -9.35% | +0.76% | +54.59 |
| ISHARE RUS 2000 INDX (IWM) | -9.14% | +1.05% | +75.45 |
| ULTRA RUSSELL2000 PR (UWM) | -20.92% | +2.38% | +170.43 |
| ULTRASHORT RUSSELL20 (TWM) | +8.47% | -2.12% | -151.67 |
| NASDAQ-100 (index) | +2.88% | +0.40% | +28.63 |
| POWERSHARES QQQ TR 1 (QQQQ) | +2.79% | +0.24% | +17.51 |
| ULTRA QQQ PROSHARES (QLD) | +2.57% | +0.74% | +53.38 |
| PT UTLRSHRT QQQ PS (QID) | -11.71% | -0.85% | -61.23 |
| S&P MidCap 400 (index) | -5.98% | +0.44% | +31.38 |
| ISHARE SP MC 400 INX (IJH) | -5.72% | +0.53% | +37.90 |
| ULTRA MC400 PROSHRS (MVV) | -14.37% | +0.75% | +53.79 |
| PT ULTRSHR MC400 PS (MZZ) | +2.34% | -0.58% | -41.50 |
| GREENHAVEN CONT IDX (GCC) | -2.30% | -1.09% | -78.49 |
| Amex Gold (index) | +6.83% | +1.21% | +87.09 |
| MKT VECT GOLD MNRS (GDX) | +7.12% | +1.22% | +87.76 |
| STREETTRACKS GOLD TR (GLD) | +8.02% | +0.22% | +15.74 |
| DB GOLD DBL SH ETN (DZZ) | -15.15% | -0.63% | -45.22 |
| DB GOLD DBL LG ETN (DGP) | +16.39% | +0.80% | +57.13 |
| Semiconductor Sector (index) | +10.57% | +1.26% | +90.38 |
| ULTRA SEMICONDUCTORS (USD) | +25.33% | +3.07% | +219.91 |
| ULTRASHORT SEMICONDU (SSG) | -32.47% | -2.05% | -147.00 |
| ISHARE DJ FIN SC INX (IYF) | -1.41% | +1.02% | +72.90 |
| ISHARES LEHMAN 20 YR (TLT) | -10.11% | -0.50% | -36.11 |
| ISHARESLEHMAN 7-10YR (IEF) | -3.09% | -0.08% | -6.05 |
| ISHARES LEH AGG FD (AGG) | -2.32% | +0.10% | +7.13 |
| ISHARES GS $ INVESTO (LQD) | -7.44% | +0.93% | +66.39 |
| ISHARES LEHMAN 1-3YR (SHY) | -0.69% | +0.08% | +5.98 |
| ProShares ETFs | |||
| PROSHARES ULTRASHORT LEHMAN 7-10 (PST) | +3.63% | +0.04% | +2.62 |
| PROSHARES ULTRASHORT LEHMAN 20YR (TBT) | +15.65% | +0.97% | +69.85 |
| SHORT QQQ PROSHARES (PSQ) | -5.11% | -0.30% | -21.44 |
| SHRT DOW30 PROSHARES (DOG) | +6.97% | -0.79% | -56.52 |
| SHRT S& P500 PROSHRS (SH) | +3.04% | -0.85% | -61.01 |
| SHRT MC400 PROSHARES (MYY) | +2.70% | -0.29% | -20.45 |
| SHORT SMALLCAP600 PR (SBB) | +7.91% | -1.50% | -107.85 |
| SHORT RUSSELL2000 PR (RWM) | +5.64% | -1.27% | -91.17 |
| PT UTLRSHRT QQQ PS (QID) | -11.71% | -0.85% | -61.23 |
| PT ULTRSHRT DOW30 PS (DXD) | +12.13% | -1.86% | -133.40 |
| PT ULTRSHRT SP500 PS (SDS) | +3.88% | -1.57% | -112.61 |
| PT ULTRSHR MC400 PS (MZZ) | +2.34% | -0.58% | -41.50 |
| ULTRASHORT SMALLCAP6 (SDD) | +13.01% | -2.89% | -207.54 |
| ULTRASHORT RUSSELL20 (TWM) | +8.47% | -2.12% | -151.67 |
| PST ULSHT RSL1K VALU (SJF) | +8.82% | -2.34% | -167.87 |
| PST ULSHT RSL1K GR (SFK) | -1.90% | -1.43% | -102.37 |
| PST ULSHT RSL MC VAL (SJL) | +15.15% | -1.57% | -112.80 |
| PST ULSHT RSL MC GR (SDK) | -5.01% | -1.62% | -116.45 |
| PST ULTSHT RSL2K VAL (SJH) | +14.27% | -2.80% | -201.12 |
| PST ULSHT RSL2K GR (SKK) | +2.93% | -1.74% | -125.02 |
| ULTRASHORT BASIC MAT (SMN) | -5.46% | -1.37% | -98.36 |
| ULTRASHORT CONSUMER (SZK) | +15.43% | -3.61% | -258.64 |
| ULTRASHORT CONSUMER (SCC) | +3.76% | -1.81% | -129.72 |
| ULTRASHORT FINANCIAL (SKF) | -30.31% | -2.17% | -155.45 |
| ULTRASHORT HEALTH CA (RXD) | +4.00% | -6.34% | -454.91 |
| ULTRASHORT INDUSTRIA (SIJ) | +24.66% | +0.07% | +5.18 |
| ULTRASHORT OIL & GAS (DUG) | +3.29% | +1.02% | +72.78 |
| ULTRASHORT REAL ESTA (SRS) | -12.62% | +2.38% | +170.83 |
| ULTRASHORT SEMICONDU (SSG) | -32.47% | -2.05% | -147.00 |
| ULTRASHORT TECHNOLOG (REW) | -16.10% | +0.53% | +37.66 |
| ULTRASHORT UTILITIES (SDP) | +36.68% | -2.42% | -173.43 |
| PROSHARES SHR MSCI E (EUM) | -12.52% | -0.32% | -22.85 |
| PROSHARES SHORT MSCI (EFZ) | +3.86% | -0.55% | -39.38 |
| PROSHARES ULTRASHORT (EFU) | +4.49% | -1.15% | -82.47 |
| PROSHARES UTLRASHORT (EEV) | -27.54% | -0.45% | -32.23 |
| PROSHARES US MSCI JP (EWV) | +23.39% | -2.44% | -174.86 |
| PROSHARES ULTRASHORT (FXP) | -33.82% | -3.95% | -283.36 |
| ULTRA QQQ PROSHARES (QLD) | +2.57% | +0.74% | +53.38 |
| ULTRA DOW30 PROSHRS (DDM) | -18.46% | +1.67% | +119.56 |
| ULTRA S& P500 PROSHRS (SSO) | -13.49% | +1.63% | +116.88 |
| ULTRA MC400 PROSHRS (MVV) | -14.37% | +0.75% | +53.79 |
| PROSH ULTRA SMALLCAP (SAA) | -22.18% | +2.87% | +205.67 |
| ULTRA RUSSELL2000 PR (UWM) | -20.92% | +2.38% | +170.43 |
| PST ULT RUS1000 VAL (UVG) | -19.87% | +1.78% | +127.80 |
| PST ULT RSL1000 GR (UKF) | -7.09% | +0.96% | +68.56 |
| PST ULT RSL MC VALU (UVU) | -24.47% | +2.36% | +169.25 |
| PST ULT RSL MC GR PS (UKW) | -6.38% | +0.84% | +60.21 |
| PST ULT RSL2000 VALU (UVT) | -26.61% | +2.60% | +186.64 |
| PST ULT RSL2000 GR (UKK) | -14.39% | +2.11% | +151.01 |
| ULTRA BASIC MATERIAL (UYM) | -14.36% | -0.29% | -21.03 |
| ULTRA CONSUMER GOODS (UGE) | -18.76% | +2.88% | +206.41 |
| ULTRA CONSUMER SERVI (UCC) | -12.22% | +2.00% | +143.40 |
| ULTRA FINANCIALS PRO (UYG) | -13.55% | +0.43% | +30.51 |
| ULTRA HEALTH CARE PR (RXL) | -9.66% | +6.76% | +484.64 |
| ULTRA INDUSTRIALS PR (UXI) | -30.74% | -0.16% | -11.57 |
| ULTRA OIL & GAS PROS (DIG) | -15.71% | -1.15% | -82.37 |
| ULTRA REAL ESTATE PR (URE) | -29.15% | -3.42% | -245.55 |
| ULTRA SEMICONDUCTORS (USD) | +25.33% | +3.07% | +219.91 |
| ULTRA TECHNOLOGY PRO (ROM) | +5.66% | -0.45% | -32.46 |
| ULTRA UTILITIES PROS (UPW) | -31.37% | +3.46% | +248.31 |
| Other ETFs | |||
| POWERSHARES DB BASE (BOM) | -3.93% | -0.42% | -30.36 |
| POWERSHARES DB BASE (BDD) | +2.88% | -0.74% | -53.11 |
| POWERSHARES DB BASE (BOS) | -1.30% | +0.98% | +70.28 |
| POWERSHARES DB BASE (BDG) | -0.46% | +0.62% | +44.60 |
| POWERSHARES DB CRUDE (DTO) | +4.56% | +4.68% | +335.35 |
| POWERSHARES DB CRUDE (SZO) | +1.25% | +0.64% | +46.04 |
| POWERSHARES DB CRUDE (DXO) | -2.42% | -2.81% | -201.57 |
| POWERSHARES DB CRUDE (OLO) | -2.18% | -2.07% | -148.56 |
| 300% Leverage ETFs | |||
| DIREXION LARGE CAP BULL 3X SHARE (BGU) | -22.62% | +2.29% | +164.37 |
| DIREXION LARGE CAP BEAR 3X SHARE (BGZ) | +0.59% | -2.94% | -210.54 |
| DIREXION SMALL CAP BULL 3X SHARE (TNA) | -32.81% | +3.93% | +281.86 |
| DIREXION SMALL CAP BEAR 3X SHARE (TZA) | +6.35% | -3.84% | -275.47 |
| DIREXION ENERGY BULL 3X SHARES (ERX) | -28.10% | -2.02% | -145.01 |
| DIREXION ENERGY BEAR 3X SHARES (ERY) | +1.12% | +1.86% | +133.21 |
| DIREXION FINANCIAL BULL 3X SHARE (FAS) | -32.50% | +1.98% | +141.98 |
| DIREXION FINANCIAL BEAR 3X SHARE (FAZ) | -54.40% | -3.37% | -241.30 |
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· Quarter-Hourly Chart Comments
· Detailed Comments . . . .
Friday, March 13, 2009
Bear Market Hurrah
Hopefully, this is the end of the discussion on Mark-To-Market accounting. We're with Brian Wesbury: MTM is the mechanism of Depression. This is an accounting problem, not a real problem---until it was forced down the throat of corporations and destroyed a big part of the economy.
As Wesbury says, "Short sellers love mark-to-market." They get rich at everyone else's expense. The previous time we had it was during the Great Depression and Roosevelt got rid of it in 1938. For seventy years, we avoided depression by not having mark-to-market. In 2007 the accountants brought it back and now we have a depression. Clearly, the empirical evidence supports the hypothesis: mark-to-market may have created this depression.
The bear market rally continued on Thursday. Short sellers appeared to be motivated to buy calls to protect their short positions rather than covering them, so they're convinced this market is going a lot lower before it bottoms. They are using the Dow in 1929-1932 as their guide---it plunged 89% before bottoming. If today's market repeats that performance, the Dow will be trading below 1600 when it bottoms (it was able to squeak out a close above 7000 on Thursday).
But, what if they're wrong and the effective elimination of Mark-To-Market is all we need to turn the market, then the economy, back into growth mode? They will be very unwilling buyers, probably at much higher levels in the future. It's something to think about:
Change From 20 Jan 2009 and 11 Mar 2009 To 12 Mar 2009
| Security | Percentage Change From 20 Jan 2009 | Percentage Change From 11 Mar 2009 | Change in Dow Industrials Points |
|---|---|---|---|
| Dow Industrials (index) | -9.80% | +3.46% | +239.66 |
| DIAMONDS TRUST SER 1 (DIA) | -9.62% | +3.30% | +228.42 |
| ULTRA DOW30 PROSHRS (DDM) | -19.79% | +6.55% | +453.82 |
| PT ULTRSHRT DOW30 PS (DXD) | +14.25% | -6.49% | -449.50 |
| S&P 500 (index) | -6.86% | +3.97% | +275.16 |
| S& P DEP RECEIPTS (SPY) | -6.29% | +3.94% | +272.87 |
| ULTRA S& P500 PROSHRS (SSO) | -14.88% | +8.01% | +555.44 |
| PT ULTRSHRT SP500 PS (SDS) | +5.54% | -8.10% | -561.27 |
| NYSE Composite (index) | -7.38% | +3.99% | +276.29 |
| ISHARES NYSE CMP IDX (NYC) | -6.93% | +3.58% | +248.29 |
| S&P SmallCap 600 (index) | -11.11% | +5.69% | +394.56 |
| PROSH ULTRA SMALLCAP (SAA) | -24.35% | +10.38% | +719.25 |
| SHORT SMALLCAP600 PR (SBB) | +9.56% | -4.33% | -300.14 |
| ULTRASHORT SMALLCAP6 (SDD) | +16.38% | -10.39% | -719.74 |
| Russell 2000 (index) | -10.05% | +6.48% | +449.35 |
| ISHARE RUS 2000 INDX (IWM) | -10.09% | +6.22% | +430.79 |
| ULTRA RUSSELL2000 PR (UWM) | -22.75% | +12.19% | +844.85 |
| ULTRASHORT RUSSELL20 (TWM) | +10.81% | -12.45% | -862.59 |
| NASDAQ-100 (index) | +2.50% | +3.47% | +240.30 |
| POWERSHARES QQQ TR 1 (QQQQ) | +2.54% | +3.32% | +229.76 |
| ULTRA QQQ PROSHARES (QLD) | +1.81% | +6.75% | +468.15 |
| PT UTLRSHRT QQQ PS (QID) | -10.95% | -6.58% | -456.11 |
| S&P MidCap 400 (index) | -6.39% | +4.71% | +326.36 |
| ISHARE SP MC 400 INX (IJH) | -6.22% | +4.61% | +319.37 |
| ULTRA MC400 PROSHRS (MVV) | -15.01% | +9.48% | +656.70 |
| PT ULTRSHR MC400 PS (MZZ) | +2.94% | -9.69% | -671.57 |
| GREENHAVEN CONT IDX (GCC) | -1.22% | +3.09% | +214.24 |
| Amex Gold (index) | +5.54% | +4.35% | +301.53 |
| MKT VECT GOLD MNRS (GDX) | +5.83% | +4.28% | +296.32 |
| STREETTRACKS GOLD TR (GLD) | +7.79% | +2.11% | +146.03 |
| DB GOLD DBL SH ETN (DZZ) | -14.62% | -3.65% | -252.67 |
| DB GOLD DBL LG ETN (DGP) | +15.47% | +3.99% | +276.35 |
| Semiconductor Sector (index) | +9.19% | +3.50% | +242.54 |
| ULTRA SEMICONDUCTORS (USD) | +21.60% | +7.27% | +503.74 |
| ULTRASHORT SEMICONDU (SSG) | -31.06% | -8.16% | -565.79 |
| ISHARE DJ FIN SC INX (IYF) | -2.40% | +8.85% | +613.62 |
| ISHARES LEHMAN 20 YR (TLT) | -9.65% | +0.48% | +33.05 |
| ISHARESLEHMAN 7-10YR (IEF) | -3.01% | +0.29% | +19.80 |
| ISHARES LEH AGG FD (AGG) | -2.42% | +0.09% | +6.21 |
| ISHARES GS $ INVESTO (LQD) | -8.29% | -0.09% | -6.03 |
| ISHARES LEHMAN 1-3YR (SHY) | -0.77% | +0.04% | +2.48 |
| ProShares ETFs | |||
| PROSHARES ULTRASHORT LEHMAN 7-10 (PST) | +3.59% | -0.76% | -52.75 |
| PROSHARES ULTRASHORT LEHMAN 20YR (TBT) | +14.53% | -1.16% | -80.09 |
| SHORT QQQ PROSHARES (PSQ) | -4.82% | -3.40% | -235.65 |
| SHRT DOW30 PROSHARES (DOG) | +7.82% | -3.28% | -227.05 |
| SHRT S& P500 PROSHRS (SH) | +3.92% | -4.04% | -279.77 |
| SHRT MC400 PROSHARES (MYY) | +2.99% | -4.61% | -319.65 |
| SHORT SMALLCAP600 PR (SBB) | +9.56% | -4.33% | -300.14 |
| SHORT RUSSELL2000 PR (RWM) | +7.01% | -6.18% | -428.14 |
| PT UTLRSHRT QQQ PS (QID) | -10.95% | -6.58% | -456.11 |
| PT ULTRSHRT DOW30 PS (DXD) | +14.25% | -6.49% | -449.50 |
| PT ULTRSHRT SP500 PS (SDS) | +5.54% | -8.10% | -561.27 |
| PT ULTRSHR MC400 PS (MZZ) | +2.94% | -9.69% | -671.57 |
| ULTRASHORT SMALLCAP6 (SDD) | +16.38% | -10.39% | -719.74 |
| ULTRASHORT RUSSELL20 (TWM) | +10.81% | -12.45% | -862.59 |
| PST ULSHT RSL1K VALU (SJF) | +11.43% | -9.12% | -632.25 |
| PST ULSHT RSL1K GR (SFK) | -0.48% | -6.13% | -425.11 |
| PST ULSHT RSL MC VAL (SJL) | +16.99% | -11.26% | -780.07 |
| PST ULSHT RSL MC GR (SDK) | -3.44% | -5.91% | -409.79 |
| PST ULTSHT RSL2K VAL (SJH) | +17.57% | -13.16% | -911.96 |
| PST ULSHT RSL2K GR (SKK) | +4.76% | -11.12% | -770.39 |
| ULTRASHORT BASIC MAT (SMN) | -4.15% | -6.44% | -446.28 |
| ULTRASHORT CONSUMER (SZK) | +19.75% | -5.05% | -350.32 |
| ULTRASHORT CONSUMER (SCC) | +5.67% | -7.05% | -488.62 |
| ULTRASHORT FINANCIAL (SKF) | -28.77% | -17.40% | -1205.71 |
| ULTRASHORT HEALTH CA (RXD) | +11.05% | -10.15% | -703.10 |
| ULTRASHORT INDUSTRIA (SIJ) | +24.57% | -8.23% | -570.58 |
| ULTRASHORT OIL & GAS (DUG) | +2.25% | -5.33% | -369.71 |
| ULTRASHORT REAL ESTA (SRS) | -14.65% | -15.43% | -1069.03 |
| ULTRASHORT SEMICONDU (SSG) | -31.06% | -8.16% | -565.79 |
| ULTRASHORT TECHNOLOG (REW) | -16.53% | -5.60% | -387.99 |
| ULTRASHORT UTILITIES (SDP) | +40.07% | -3.61% | -250.20 |
| PROSHARES SHR MSCI E (EUM) | -12.24% | -3.48% | -241.33 |
| PROSHARES SHORT MSCI (EFZ) | +4.44% | -2.18% | -150.92 |
| PROSHARES ULTRASHORT (EFU) | +5.71% | -4.53% | -314.18 |
| PROSHARES UTLRASHORT (EEV) | -27.21% | -8.16% | -565.61 |
| PROSHARES US MSCI JP (EWV) | +26.47% | +0.17% | +11.68 |
| PROSHARES ULTRASHORT (FXP) | -31.10% | -6.72% | -465.56 |
| ULTRA QQQ PROSHARES (QLD) | +1.81% | +6.75% | +468.15 |
| ULTRA DOW30 PROSHRS (DDM) | -19.79% | +6.55% | +453.82 |
| ULTRA S& P500 PROSHRS (SSO) | -14.88% | +8.01% | +555.44 |
| ULTRA MC400 PROSHRS (MVV) | -15.01% | +9.48% | +656.70 |
| PROSH ULTRA SMALLCAP (SAA) | -24.35% | +10.38% | +719.25 |
| ULTRA RUSSELL2000 PR (UWM) | -22.75% | +12.19% | +844.85 |
| PST ULT RUS1000 VAL (UVG) | -21.27% | +10.12% | +701.63 |
| PST ULT RSL1000 GR (UKF) | -7.97% | +6.53% | +452.61 |
| PST ULT RSL MC VALU (UVU) | -26.21% | +8.88% | +615.32 |
| PST ULT RSL MC GR PS (UKW) | -7.16% | +7.11% | +493.01 |
| PST ULT RSL2000 VALU (UVT) | -28.47% | +13.69% | +948.55 |
| PST ULT RSL2000 GR (UKK) | -16.15% | +11.28% | +782.08 |
| ULTRA BASIC MATERIAL (UYM) | -14.11% | +5.90% | +408.94 |
| ULTRA CONSUMER GOODS (UGE) | -21.03% | +4.95% | +343.18 |
| ULTRA CONSUMER SERVI (UCC) | -13.94% | +6.91% | +479.15 |
| ULTRA FINANCIALS PRO (UYG) | -13.92% | +18.09% | +1253.74 |
| ULTRA HEALTH CARE PR (RXL) | -15.38% | +9.68% | +670.60 |
| ULTRA INDUSTRIALS PR (UXI) | -30.63% | +8.78% | +608.46 |
| ULTRA OIL & GAS PROS (DIG) | -14.73% | +5.40% | +374.14 |
| ULTRA REAL ESTATE PR (URE) | -26.63% | +15.42% | +1068.32 |
| ULTRA SEMICONDUCTORS (USD) | +21.60% | +7.27% | +503.74 |
| ULTRA TECHNOLOGY PRO (ROM) | +6.14% | +5.41% | +374.81 |
| ULTRA UTILITIES PROS (UPW) | -33.66% | +2.46% | +170.78 |
| Other ETFs | |||
| POWERSHARES DB BASE (BOM) | -3.52% | 0.00% | 0.00 |
| POWERSHARES DB BASE (BDD) | +3.65% | -0.37% | -25.57 |
| POWERSHARES DB BASE (BOS) | -2.26% | -0.44% | -30.59 |
| POWERSHARES DB BASE (BDG) | -1.08% | 0.00% | 0.00 |
| POWERSHARES DB CRUDE (DTO) | -0.11% | -12.74% | -883.01 |
| POWERSHARES DB CRUDE (SZO) | +0.61% | -5.67% | -392.70 |
| POWERSHARES DB CRUDE (DXO) | +0.40% | +12.16% | +842.89 |
| POWERSHARES DB CRUDE (OLO) | -0.11% | +6.38% | +442.20 |
| 300% Leverage ETFs | |||
| DIREXION LARGE CAP BULL 3X SHARE (BGU) | -24.35% | +12.17% | +843.53 |
| DIREXION LARGE CAP BEAR 3X SHARE (BGZ) | +3.63% | -12.15% | -841.88 |
| DIREXION SMALL CAP BULL 3X SHARE (TNA) | -35.35% | +18.17% | +1259.56 |
| DIREXION SMALL CAP BEAR 3X SHARE (TZA) | +10.60% | -18.55% | -1285.85 |
| DIREXION ENERGY BULL 3X SHARES (ERX) | -26.62% | +8.54% | +591.62 |
| DIREXION ENERGY BEAR 3X SHARES (ERY) | -0.73% | -8.08% | -559.63 |
| DIREXION FINANCIAL BULL 3X SHARE (FAS) | -33.81% | +25.62% | +1775.70 |
| DIREXION FINANCIAL BEAR 3X SHARE (FAZ) | -52.81% | -25.83% | -1790.36 |
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· Quarter-Hourly Chart Comments
· Detailed Comments . . . .
Thursday, March 12, 2009
Light At the End of the Mark-To-Market Tunnel
Finally, it seems the day is dawning when the pointy-haired snoots running the financial world are waking up to the problems of Mark-To-Market accounting. This arcane accounting principle has been one of the driving factors in destroying trillions of dollars in the economy. Now, don't get us wrong: the basic problems were there all along. MTM simply exposed them to the light of day. But, like a catalyst in a chemical reaction, it speeded things up to the point where the economic plunge took the innocents with it.
Although the gasbags (you know, Ben Bernanke, Warren Buffet, etc.) who really like MTM accounting won't admit it, of course. But, they welcome changes which paper over the problem they caused, especially if they don't have to admit publically they were wrong. Unfortunately, it's going to take some time before the problems caused by MTM can be worked through. The positives are that the system will be better. As they say, an experience you can survive makes you stronger. And, this one should make the financial system much stronger in the future.
The fix? Do the MTM accounting, but don't use it to set required regulatory capital levels. Simple, huh? Now, with that major problem out of the way, we can get on with bringing back the short sale uptick rule which was turned off right at the beginning of this bear market---it should be as simple as flipping a switch, but the boneheads on Wall Street have laid-off their software engineers who knew how to do it and they can't change the computer code for months until they rehire them. Ben Franklin called it, "Penny wise and pound foolish."
The third problem that's being addressed right now is putting CDS on a regulated exchange, which should be happening quickly (they didn't layoff their software engineers).
Unfortunately, we're still stuck with the morons running the financial ship of state in New York and Washington.
Change From 20 Jan 2009 and 10 Mar 2009 To 11 Mar 2009
| Security | Percentage Change From 20 Jan 2009 | Percentage Change From 10 Mar 2009 | Change in Dow Industrials Points |
|---|---|---|---|
| Dow Industrials (index) | -12.82% | +0.06% | +3.91 |
| DIAMONDS TRUST SER 1 (DIA) | -12.50% | +0.49% | +34.06 |
| ULTRA DOW30 PROSHRS (DDM) | -24.72% | +1.03% | +71.04 |
| PT ULTRSHRT DOW30 PS (DXD) | +22.18% | -1.35% | -93.53 |
| S&P 500 (index) | -10.39% | +0.27% | +18.67 |
| S& P DEP RECEIPTS (SPY) | -9.84% | +0.65% | +45.11 |
| ULTRA S& P500 PROSHRS (SSO) | -21.20% | +0.98% | +67.95 |
| PT ULTRSHRT SP500 PS (SDS) | +14.84% | -1.22% | -84.35 |
| NYSE Composite (index) | -10.93% | +0.13% | +9.24 |
| ISHARES NYSE CMP IDX (NYC) | -10.15% | +0.31% | +21.72 |
| S&P SmallCap 600 (index) | -15.90% | -0.05% | -3.21 |
| PROSH ULTRA SMALLCAP (SAA) | -31.46% | +0.44% | +30.59 |
| SHORT SMALLCAP600 PR (SBB) | +14.52% | -1.14% | -79.02 |
| ULTRASHORT SMALLCAP6 (SDD) | +29.87% | -0.52% | -35.75 |
| Russell 2000 (index) | -15.54% | -0.40% | -27.69 |
| ISHARE RUS 2000 INDX (IWM) | -15.35% | +0.14% | +9.45 |
| ULTRA RUSSELL2000 PR (UWM) | -31.15% | +0.10% | +6.60 |
| ULTRASHORT RUSSELL20 (TWM) | +26.57% | -0.32% | -22.00 |
| NASDAQ-100 (index) | -0.94% | +1.22% | +84.18 |
| POWERSHARES QQQ TR 1 (QQQQ) | -0.75% | +1.54% | +106.44 |
| ULTRA QQQ PROSHARES (QLD) | -4.63% | +3.00% | +207.89 |
| PT UTLRSHRT QQQ PS (QID) | -4.67% | -3.11% | -215.27 |
| S&P MidCap 400 (index) | -10.60% | +0.37% | +25.29 |
| ISHARE SP MC 400 INX (IJH) | -10.35% | +0.56% | +38.52 |
| ULTRA MC400 PROSHRS (MVV) | -22.36% | +0.76% | +52.91 |
| PT ULTRSHR MC400 PS (MZZ) | +13.98% | -0.97% | -67.34 |
| GREENHAVEN CONT IDX (GCC) | -4.18% | -0.92% | -63.98 |
| Amex Gold (index) | +1.14% | +4.81% | +332.82 |
| MKT VECT GOLD MNRS (GDX) | +1.49% | +5.63% | +389.86 |
| STREETTRACKS GOLD TR (GLD) | +5.56% | +1.23% | +84.87 |
| DB GOLD DBL SH ETN (DZZ) | -11.38% | -1.96% | -135.58 |
| DB GOLD DBL LG ETN (DGP) | +11.04% | +2.39% | +165.27 |
| Semiconductor Sector (index) | +5.50% | +2.03% | +140.66 |
| ULTRA SEMICONDUCTORS (USD) | +13.36% | +2.67% | +185.00 |
| ULTRASHORT SEMICONDU (SSG) | -24.93% | -4.58% | -317.56 |
| ISHARE DJ FIN SC INX (IYF) | -10.34% | +2.45% | +169.74 |
| ISHARES LEHMAN 20 YR (TLT) | -10.08% | +1.08% | +74.95 |
| ISHARESLEHMAN 7-10YR (IEF) | -3.29% | +0.71% | +49.46 |
| ISHARES LEH AGG FD (AGG) | -2.50% | +0.24% | +16.58 |
| ISHARES GS $ INVESTO (LQD) | -8.21% | +0.03% | +2.26 |
| ISHARES LEHMAN 1-3YR (SHY) | -0.80% | +0.05% | +3.30 |
| ProShares ETFs | |||
| PROSHARES ULTRASHORT LEHMAN 7-10 (PST) | +4.39% | -1.45% | -100.20 |
| PROSHARES ULTRASHORT LEHMAN 20YR (TBT) | +15.87% | -1.79% | -123.74 |
| SHORT QQQ PROSHARES (PSQ) | -1.47% | -1.49% | -103.02 |
| SHRT DOW30 PROSHARES (DOG) | +11.47% | -0.63% | -43.46 |
| SHRT S& P500 PROSHRS (SH) | +8.29% | -0.56% | -38.82 |
| SHRT MC400 PROSHARES (MYY) | +7.97% | -0.61% | -42.56 |
| SHORT SMALLCAP600 PR (SBB) | +14.52% | -1.14% | -79.02 |
| SHORT RUSSELL2000 PR (RWM) | +14.05% | +0.01% | +0.82 |
| PT UTLRSHRT QQQ PS (QID) | -4.67% | -3.11% | -215.27 |
| PT ULTRSHRT DOW30 PS (DXD) | +22.18% | -1.35% | -93.53 |
| PT ULTRSHRT SP500 PS (SDS) | +14.84% | -1.22% | -84.35 |
| PT ULTRSHR MC400 PS (MZZ) | +13.98% | -0.97% | -67.34 |
| ULTRASHORT SMALLCAP6 (SDD) | +29.87% | -0.52% | -35.75 |
| ULTRASHORT RUSSELL20 (TWM) | +26.57% | -0.32% | -22.00 |
| PST ULSHT RSL1K VALU (SJF) | +22.62% | -1.36% | -94.42 |
| PST ULSHT RSL1K GR (SFK) | +6.02% | -1.29% | -89.51 |
| PST ULSHT RSL MC VAL (SJL) | +31.83% | +0.82% | +56.97 |
| PST ULSHT RSL MC GR (SDK) | +2.62% | -3.70% | -256.29 |
| PST ULTSHT RSL2K VAL (SJH) | +35.38% | +0.48% | +33.18 |
| PST ULSHT RSL2K GR (SKK) | +17.86% | -0.12% | -8.48 |
| ULTRASHORT BASIC MAT (SMN) | +2.45% | -1.76% | -121.97 |
| ULTRASHORT CONSUMER (SZK) | +26.13% | -1.58% | -109.14 |
| ULTRASHORT CONSUMER (SCC) | +13.69% | -0.80% | -55.61 |
| ULTRASHORT FINANCIAL (SKF) | -13.76% | -5.20% | -360.41 |
| ULTRASHORT HEALTH CA (RXD) | +23.59% | +3.13% | +216.57 |
| ULTRASHORT INDUSTRIA (SIJ) | +35.75% | -1.98% | -137.30 |
| ULTRASHORT OIL & GAS (DUG) | +8.02% | +1.11% | +76.57 |
| ULTRASHORT REAL ESTA (SRS) | +0.91% | +1.93% | +133.43 |
| ULTRASHORT SEMICONDU (SSG) | -24.93% | -4.58% | -317.56 |
| ULTRASHORT TECHNOLOG (REW) | -11.58% | -5.67% | -393.05 |
| ULTRASHORT UTILITIES (SDP) | +45.31% | +0.44% | +30.35 |
| PROSHARES SHR MSCI E (EUM) | -9.07% | -0.78% | -54.12 |
| PROSHARES SHORT MSCI (EFZ) | +6.76% | -0.52% | -35.73 |
| PROSHARES ULTRASHORT (EFU) | +10.73% | -1.17% | -80.76 |
| PROSHARES UTLRASHORT (EEV) | -20.74% | -0.52% | -36.20 |
| PROSHARES US MSCI JP (EWV) | +26.26% | -0.83% | -57.22 |
| PROSHARES ULTRASHORT (FXP) | -26.14% | +2.78% | +192.46 |
| ULTRA QQQ PROSHARES (QLD) | -4.63% | +3.00% | +207.89 |
| ULTRA DOW30 PROSHRS (DDM) | -24.72% | +1.03% | +71.04 |
| ULTRA S& P500 PROSHRS (SSO) | -21.20% | +0.98% | +67.95 |
| ULTRA MC400 PROSHRS (MVV) | -22.36% | +0.76% | +52.91 |
| PROSH ULTRA SMALLCAP (SAA) | -31.46% | +0.44% | +30.59 |
| ULTRA RUSSELL2000 PR (UWM) | -31.15% | +0.10% | +6.60 |
| PST ULT RUS1000 VAL (UVG) | -28.51% | +0.94% | +65.00 |
| PST ULT RSL1000 GR (UKF) | -13.61% | +1.21% | +84.01 |
| PST ULT RSL MC VALU (UVU) | -32.22% | +1.18% | +81.87 |
| PST ULT RSL MC GR PS (UKW) | -13.32% | +2.43% | +168.23 |
| PST ULT RSL2000 VALU (UVT) | -37.08% | -0.49% | -34.00 |
| PST ULT RSL2000 GR (UKK) | -24.66% | -0.52% | -35.89 |
| ULTRA BASIC MATERIAL (UYM) | -18.89% | +3.43% | +237.31 |
| ULTRA CONSUMER GOODS (UGE) | -24.76% | +2.19% | +151.48 |
| ULTRA CONSUMER SERVI (UCC) | -19.51% | +0.07% | +4.94 |
| ULTRA FINANCIALS PRO (UYG) | -27.11% | +5.29% | +366.48 |
| ULTRA HEALTH CARE PR (RXL) | -22.85% | -2.73% | -189.26 |
| ULTRA INDUSTRIALS PR (UXI) | -36.23% | +1.61% | +111.22 |
| ULTRA OIL & GAS PROS (DIG) | -19.10% | -1.15% | -79.46 |
| ULTRA REAL ESTATE PR (URE) | -36 | ||