Or maybe it's the beginning of a decoupling of the inverse
correlation of equities and the dollar. Much too soon to say, but I
can't remember the last time we had a big move that wasn't
correlated. With most commodities also selling off (gold being the
most obvious exception), and with bonds strong, is it possible that
we're entering a new phase where lousy economic numbers will
actually be more important than the dollar? Or is the market also
smelling that maybe the dollar has found support here? Just
ruminating.
maybe something bad looming out there thats not already priced
in. financials taking a big hit today. maybe bank
failures who knows, skf bounced off 50dma big time today.
daily macds on most charts look horrible so it looks like the next
move is down down down.
banks would all be insolvent if there was mark to market
accounting.....if we don't have QE3.....we could give back quite a
bit of these PONZI gains...i agree. But somehow I don't believe the
FED or the politicians have the stomach to let it play out.
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Does anyone remeber the last big move that wasn't correlated to the dollar?
Posted by puma on 1st of Jun 2011 at 01:50 pm
Or maybe it's the beginning of a decoupling of the inverse correlation of equities and the dollar. Much too soon to say, but I can't remember the last time we had a big move that wasn't correlated. With most commodities also selling off (gold being the most obvious exception), and with bonds strong, is it possible that we're entering a new phase where lousy economic numbers will actually be more important than the dollar? Or is the market also smelling that maybe the dollar has found support here? Just ruminating.
good point
Posted by morton13 on 1st of Jun 2011 at 01:55 pm
maybe something bad looming out there thats not already priced in. financials taking a big hit today. maybe bank failures who knows, skf bounced off 50dma big time today. daily macds on most charts look horrible so it looks like the next move is down down down.
banks would all be insolvent
Posted by dylan398 on 1st of Jun 2011 at 02:05 pm
banks would all be insolvent if there was mark to market accounting.....if we don't have QE3.....we could give back quite a bit of these PONZI gains...i agree. But somehow I don't believe the FED or the politicians have the stomach to let it play out.