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Saturday, January 30, 2010

As January Goes

January has seen a drop in markets, equities are taking a hit.

Historically, the market's performance in January indicates how the rest of the year will go. Its not always the case, yet concerns have some thinking we are in for it.

The upcoming week will once again shed light on the state of the recovery and its continuity if any. Employment for January will be of great interest. Those numbers come out on Friday.

Reuters: Are U.S. stocks set for a down year?
A heavy week for economic data will culminate in Friday's non-farm payrolls report. Analysts believe the economy added 5,000 jobs in January, according to a Reuters poll. Another negative surprise after the previous month's unexpected surge in job losses could roil markets.

Around 500 U.S. companies have reported quarterly earnings so far and of those, 73 percent have beaten earnings estimates...

"Essentially the fuel was used in sustaining the rally as far as it did, and we are now beginning a down cycle that I expect to be prolonged and severe."

3 comments:

Glynn Kalara said...

The PLUTOCRATS want the Dems. defeated and will if necessary short the market to that end and then once they have the Gopers back in control and Obama securely under their thumb, they'll start the hiring like they did in 94. These are cynical people.

Jim Sande said...

Are you saying they are deliberately tanking the market to shore up the 10 elections?

Glynn Kalara said...

Yes, just like they drop gas prices right before the election in 2008. They control the economy.