Wednesday, February 25, 2009

Obama Speaks; Wall Street Blamed For Everything; Market Retreats

This is no market for old men, especially those who want to hold any positions.

We started the day with some downright dull action. We were drifting around as market players were uninspired by President Obama's speech on Tuesday night and sought details on the bank bailout program.

Finally, some details of the so-called Capital Assistance Program (CAP) were announced. It provided a few key details like the conversion price of preferred stock that might be issued but it left much unsaid.

The market was happy to have something and got a bit of a rally going. Just as it started to gain steam, President Obama appeared on television yet again. The guy has been on more lately than Seinfeld reruns and of course he had to make sure he noted how Wall Street was to blame.

The market reversed sharply into the close, and the uncertainty and lack of clarity that have been our big problems flared up yet again.

It is one very tough market. We are obviously in a bear market, the bulls are trying to get a little bounce going and we are jerked around by government announcements day after day.

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