Friday, September 21, 2007
Profit Taking or Something Worse!!
The SPX fell Thursday 10.28 to 1518.75 on what was probably profit taking.
WHR fell $2.12 to $93.00. We are in green on our trade and looking ok.
Bernanke and Treasury Secretary Henry Paulson spoke yesterday before the House Committee on Financial Services. These two leaders talked about the subprime mortgage sector, which has been a drag on the U.S. economy. Mr. Bernanke noted that the Fed expects to see further problems with defaults and foreclosures in subprime loans before things improve. The Chairman also reiterated the Fed statement stating that rate cuts were used to slowdown the possible adverse effects that have arisen in the financial markets that could slow economic growth.
Bernanke also got good news when weekly jobless claims came in below expectations. For the week ending September 15, claims fell by 9,000 to a level of 311,000. This bodes well for the September jobs report since this is the same week the data for the employment report is taken. Offsetting this good news was worse than expected reading in the leading indicators report. Leading indicators fell by 0.6 percent, double what was expected. However, the hope is the Fed rate cuts will help ease the slowing this data points to.
Expiration Friday today so should be some movememt in the markets.
Until next time.
WHR fell $2.12 to $93.00. We are in green on our trade and looking ok.
Bernanke and Treasury Secretary Henry Paulson spoke yesterday before the House Committee on Financial Services. These two leaders talked about the subprime mortgage sector, which has been a drag on the U.S. economy. Mr. Bernanke noted that the Fed expects to see further problems with defaults and foreclosures in subprime loans before things improve. The Chairman also reiterated the Fed statement stating that rate cuts were used to slowdown the possible adverse effects that have arisen in the financial markets that could slow economic growth.
Bernanke also got good news when weekly jobless claims came in below expectations. For the week ending September 15, claims fell by 9,000 to a level of 311,000. This bodes well for the September jobs report since this is the same week the data for the employment report is taken. Offsetting this good news was worse than expected reading in the leading indicators report. Leading indicators fell by 0.6 percent, double what was expected. However, the hope is the Fed rate cuts will help ease the slowing this data points to.
Expiration Friday today so should be some movememt in the markets.
Until next time.
# posted by Paul @ 8:16 AM 
