Evening Star
28th February 2008
Was that an evening star I saw hovering over the stock market tonight? Well, it looks close enough. The bears appear to have won the battle today with the line drawn at yesterday’s close.
The stock market gapped down at the open, while the bond market gapped up. There’s still a strong flight to quality in the financial markets. The economic news, and the comments from Uncle Ben, all indicate that the economy is slowing down and inflation is rising. Not a good scenario for the stock market.
No change from our cautious attitude. Still time to consider some bearish options strategies. Certainly not time to get brave.
- JD