Just in case the world has forgotten, one can have higher jobless claims data while new jobs are being created. In fact, coming into a growth cycle economy, this is normal and should be expected for the next few months.
An analyst downgraded VZ on fears they won't see the iPhone until mid-2011. I disagree.
So Greece has a lot of debt to GDP? And this is new info?
Think the CDS market is correct? Then explain the thousands of bonds across muni's, corporates and others that cratered during 2008 and are now trading near par or higher.....
However, to be aggressively bullish we still need differentiation. It was partially around for the last six months of 2009. We seem to have lost it since the second week of Jan. When I see it back that will be my tell.
We are seeing a mini contagion again from Euroland. We fixed FAS 157. We have yet to address huge problems with the CDS market -- mainly that CDS' don't comply with the principle/law of insurable interest. And we have yet to reinstate the uptick rule. We could add position limits in the futures but that is underway currently and I believe that they likely wouldn't be necessary if we had the original uptick rule back.
Without restoring the bulk of the market rules repealed during 2007 we still stay exposed to market risks greater than the real underlying conditions would dictate. I find it amazing that we are spending so much time and money trying to change banking regulations, while not restoring the market rules that served the markets well for over seven decades and addressing this maddening CDS situation which could be fixed by requiring insurable interest.
I bring this up as even the most ardent of bulls out there needs to be continually aware of factors that can bring down any stock in extremely rapid fashion.....
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