The Analogy To 1987
As most of you know, my position has been that the lows for the year were registed on Friday October 10th. I still believe that that day marked capitulation – at least for the intermediate term. The Dow swung down…
Retail Therapy: Circuit City Files For Bankruptcy, Starbucks Worst Quarter Ever
Yesterday, Circuit City, with 721 US stores and 43,000 employees, filed for bankruptcy. Starbucks (SBUX) announced their worst quarter ever with same store sales in the US down -8% from the year ago period (SBUX FY 4Q Earnings Release). Up…
Deutsche Bank’s New Price Target For GM: $0
Deutsche Bank came out this morning with a pretty bold call, that is almost certainly right, slapping a sell rating on General Motors (GM) and a $0 price target. They forecast that GM might not have enough cash to operate…
GM: Need Cash NOW
Even if GM implements the planned operating actions that are substantially within its control, GM’s estimated liquidity during the remainder of 2008 will approach the minimum amount necessary to operate its business. Looking into the first two quarters of 2009,…
Horrible Jobs Report + Horrible Expectations = Up Market
Days like today are interesting and telling: The October Jobs Report, announced by the BLS this morning, was brutal. Employment dropped 240,000 in October and September job losses were revised up to 284,000 from 159,000. That’s a lot of jobs…
900 On The S&P
Yesterday I said that 1,000 on the S&P represents significant upside resistance. I didn’t think I’d be writing about it so soon but I think 900 represents important downside support. We’ve only closed below 900 four times: Fri 10/10 (899),…
The Economic News Is Horrible
The economic news over the last 24 hours has been just horrible: After the close yesterday, Cisco (CSCO) said orders in October fell off a cliff – down 9% from the year ago period – and forecast a 5-10% drop…
1,000 On The S&P
The key short term level for me is 1,000 on the S&P 500. If this rally is to turn into a significant, multi week, year-end surge, then 1,000 needs to be taken out and in the next couple weeks too….
Handicapping The Election’s Impact On Stocks
Markets are idling today ahead of tomorrow’s election. Volume is the lowest it’s been since the lazy days of August. The question we need to ask today is what the likely impact of the election will be on stocks. I want…
Local Restaurants And Retailers Closing Left And Right
Back in January, I wrote about how the fast Asian restuarant Pick Up Stix had closed its location on the corner of Douglas and Sierra College Boulevard – along with all its other Sacramento locations. This past Saturday I went…