Optimism, Pessimism and Realism to survive..Let's hope that risk appetite starts finding its way back into the market this week, like I mention US Market-Sensitive Data is taking a break till Fri 8:30am Personal Spending, Core PCE Price Index, and Personal Income need to outpace Inflation and Interest rates with an economy that will have no mercy on households living paycheck to paycheck and in the US that 64% so you can understand how the economy is heading into a gauntlet. If you're waiting for someone to publicly warn the market that the next day will be a crash, never happens always catching the masses off guard, or if you're waiting for the FED to voice what really could happen remember his job is to calm the public talking out of both sides of his mouth but he did stress that the FED is determined to drive Inflation to 2% at
any cost and that's about as close as you'll get to the truth. Just do the math. Next is Europe, we only know what we're told and CEO are becoming tightly lipped leaving it to the government to get in front of it but it's clear that the dam has cracks. Unfortunately, the real truth and health of the financial system are behind closed doors only finding out the truth after the facts. Trading in commodities is extremely sensitive to the strengths of the global economies and if it wasn't for Asia, China Oil would be heading toward $55 as economies erode through deliberate actions of governments so Oil is depending on demand increasing which is now a balancing act China, Asia needs to increase demand faster than the US and Europe slows the power of 2 titans, US #1 largest economy deterioration if left to be the main driver and focus will pull China demand down and with Biden being determined in keeping the Oil market flush until US and Europe recession ending tightening demand worries. And remember Oil has had no problems trading in the past at $50 when all economies were intact. This coming week could turn out to be one of the best in March for Oil once deep pockets jump in building confidence others follow with Oil prices at this level plus the media needs to be bullish and what with the FED saying that in 2 weeks the US will be in a 3/4 recession? maybe he's saying that next week our holdings will be worth 1/4%. Just tread lightly for the next couple of weeks. I'm always hoping for the best outcome but you have to be realistic looking at everything as a whole and the writing is on the wall. My goal is not to panic anyone I'm just posting my concerns. And if things turn bullish I'll jump in with both feet I just didn't want to hold over the weekend, we understand basically what's happening but the public doesn't if a run on smaller US Banks happens from fear of FED Yellen saying that there's No Blanket Insurance on your money could snowball interpretation to panic. Too many serious unknowns right now for my risk appetite. Presently I'm heavily weighted in cash hoping for opportunities, Warren Buffett, You buy when the streets are bloody! Hopefully, the market is looking up this week, we need it.
“With banking risks and what happened last week with Credit Suisse and regulators, traders don’t have the risk appetite to hold positions through the weekend.” How Deutsche Bank came under fire as Europe's banking crisis spread - Business News (crast.net) U.S. National Debt Clock : Real Time (usdebtclock.org)