O.k, being a rookie doesn`t allow for much experience but regardless here is another snapshot of what is unfolding on the hang seng(and also not to be ignorant of the pesso`s).Steep or what?First the beginning of October and then now.
p.s. not trying to spook anyone
Reading this makes one think seriously about the continuation of the bull,the inefficiencies of the big 4 and the troubles to come in the markets ahead.
http://www.prudentbear.com/index.php?option=com_content&view=article&id=4809&Itemid=53
Wednesday, October 31, 2007, 8:15 am EDT
Nonfarm private employment grew 106,000 from September to October of 2007 on a seasonally adjusted basis, according to the ADP National Employment ReportTM. The estimated change in employment from August to September was revised up 3,000 to 61,000. October’s increase of 106,000 marked an acceleration of private nonfarm employment after three months (July through September) during which the average monthly change was just 43,000. http://www.adpemploymentreport.com/report_analysis.aspx
ECONOMIC REPORT
U.S. economy grows at 3.9% pace in third quarter
Best growth since early 2006 driven by consumers, exports, military
By Rex Nutting, MarketWatch
Last Update: 8:52 AM ET Oct 31, 2007Print E-mail Subscribe to RSS Disable Live Quotes
WASHINGTON (MarketWatch) -- The U.S. economy shook off the worst housing downturn in a generation to grow at a 3.9% annual pace in third quarter, the best performance in six quarters, the Commerce Department estimated Wednesday.
The increase in gross domestic product was better than the 3.4% gain expected by economists surveyed by MarketWatch. See Economic Calendar.
Growth was well balanced in the period from July to September, with strong contributions from consumers, exports, capital spending, military spending and inventory building. Housing investments continued to be a major drag on growth. Read the full report.
Despite rising worries about commodity prices, the GDP price index, the broadest measure of price changes in the economy, rose just 0.8% annualized, matching a nine-year low. Inflation hasn't been lower since John F. Kennedy's administration.
Consumer prices rose 1.7%, while core consumer prices, which exclude food and energy prices, rose 1.8%, just within the Federal Reserve's target zone.
The strong GDP report is unlikely to sway members of the Federal Open Market Committee to hold off on another rate cut later Wednesday. Markets and economists are nearly positive that the FOMC will cut its overnight lending rate by a quarter percentage point to 4.50% at the meeting, in a bid to pre-empt any economic slump stemming from weak housing markets and malfunctioning credit markets.
http://www.marketwatch.com/news/sto...x?guid={33464B2D-9070-4B37-95AA-E18239F34960}
Oct 31.
There are a few themes developing for the Asian session that the market should
eye closely -
* Baltic Dry Index - In a sign that the commodity bubble may burst, the Baltic
Dry index fell 230 pts today to close at 10,656 and biggest fall for the year
after continual record highs in recent sessions; This move defies the gains to
record highs in oil and gold today and could signal a turn for commodities,
which would be bearish for AUD, NZD, CAD & ZAR
* China Petrol Price Hike - numerous press outlets reported today that China
will hike petrol prices for the first time since May 2006, fuelling inflation
and pressuring consumers and businesses, with risk for China stocks eyed on the
price rise, particularly with recent, consistent comments from Ex-Fed Greenspan
warning of a China stock bubble
* The USD losses despite a hawkish Fed - There is increasing speculation that
the broad-based accelerated selling of the USD against a range of currencies has
been sparked by a central bank or sovereign wealth fund, raising the possibility
that an Asian or Mid East country is preparing to shift from a USD peg to a
basket of currencies; particularly with the USD weakness fuelling double digit
inflation in the Middle East due to the USD peg.
November 1.
Bonds are smartly bouncing off their overnight lows, somewhat in response to
the disappointing earnings from Exxon, which is weighing on the equity complex,
though more so off of talk that Citi bank, which as was the case with Merrill
faces massive subprime/credit writedowns. The scuttlebutt is throwing numbers
upwards of $30 bln in losses or loss provisions to be taken by the bank.
A couple more (rumours) for mulling...
Cheers
...........Kauri
A couple more (rumours) for mulling...
Cheers
...........Kauri
Hi Canni,when do Citi report?
November 1. The equity complex is not receiving a warm welcome into the new month as analyst downgrades of Citigroup at two investment banks has thrown ice water on Wednesday's party. One of the analysts suggests that the money center bank will be forced to cut its dividend and raise more than $30 bln to shore up its capital.
The S&P cash index closed the month of October at an all time record high (which was convenient for hedge fund mark to markets) and was just shy of closing above the all time intra-month highs. Today however downside targets will be more useful.
Don't make me cry, Kauri
Nov. 1. The AUD/USD continues to consolidate around 0.9220-40 after the morning decline but risk remains to the downside in the wake of the news that Goldman Sachs has downgraded the mining sector of stocks from "attractive" to "neutral." The news has seen stocks such as BHP Billiton, Rio Tinto and Xstrata all under selling pressure in London this morning. The news has also hit the base metals complex with copper prices lower and zinc hitting a seven-week low. This follows a decline in gold this morning which has dipped under $788.00/oz, down from highs above $796.00/oz in overnight trading.
Nov. 1. The credit concerns have been extrapolated by the news that the Fed has just injected at $41 bln repo and the largest since the credit crisis began. The concerns have seen the market now increase the chance of a December 25 bp rate cut, particularly after pricing out such a move yesterday on the hawkish FOMC statement. US ten-yr bonds yields remain near session lows of 4.378% on the credit concerns, down from 4.50% overnight.
USD/JPY has stalled at 114.60 but risk remains for stops to be triggered under 14.50/60 for a move lower.
From what I can gather the US markets firmly believes Abby is right and the Dow is going to 15000 , the only problem is I think she forgot to mention when
I'm rather interested in the effect we will see in the financials once the first quarter credit resets hit . The market commentary would have us believe it's all over , but my calculations say it will take longer to show effects than an interest rate rise ( approx.18mths ) .
In fact I'm waiting anxiously so I can buy banks for bottom drawer fillers and be ready for the next run .
I have the All Ords projected at 7300 for its next target and also believe the two no-brainers BHP and RIO will double in share prices , this eventuation could see the All Ords go stratospheric .
Porper.
Nice pick up.
If symetry remains the same A and C then your projection is highly likely.
It did in the last move.
Porper.
Nice pick up.
If symetry remains the same A and C then your projection is highly likely.
It did in the last move.
I have the All Ords projected at 7300 for its next target and also believe the two no-brainers BHP and RIO will double in share prices , this eventuation could see the All Ords go stratospheric .
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