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Message: Tuesday Morning Thoughts

PM
Mar 25, 2008 02:35AM

Just for Al I thought I would have a crack at this.

The Worlds stock markets are once again awash in green. The liquidity driven markets are placing a bet that the financial markets are righting themselves and all is well once again. I for one have been saying in my posts that we are entering a period of stock market strength that will culminate in new Dow all time highs. There will of course be dips along the way as more skeletons are found in the financial institutions closets.

Gold which was taken to the wood shed is now recovering as it should, again as a result of excess world liquidity. As one financial commentator put it "we should all invest in chain saws". His comment was meant to say that the FED will cut down every tree to print an unlimited supply of dollars if they have to. This is all of course very bullish for all commodities.

The only statistic of significance being released today is the consumer confidence number which will come out at 10am. The estimate has been reduced so many times(now at a depression level!) that they will probably have an estimate low enough to be beaten. Yes, it is all a game as the spinmeisters get to work.

The Mcfaulds stocks were in recovery mode yesterday as the general markets recovered. We await visuals, assays and much more. UC appeared to have a bad day yesterday but I do not put alot of credence into yesterday's trading as volumes were light.

I am starting to wonder if the "sell in May" crowd will be doing themselves an injustice. As they sip margaritas on the beach and in their cottages they may come back to much higher prices at the end of summer.

I wonder if Al has found an internet cafe and took a peek at the stock prices yesterday. My bet is yes!


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