BAC continues its descent toward $10. If the stock dips into single digits, I would expect to see sell orders rush in and the stock price to further deteriorate.
Compared with 2008 when all financials were in free fall, 2011 seems to be far more skewed toward weakness in BAC, although the entire group is not exactly in good health. Should BAC pierce $10 and fall further, it could create another financial contagion. All I can tell you is that Merrill Lynch is not what it used to be. By that I mean the pre-Stan O'Neal CEO years.
The NFL will likely kickoff their season in September, although I think it may be a little late and a little rushed. It'll come after owners and the players union drag us through a summer of more acrimony and negotiations. This will breathe a sigh of relief to many media, retail, food and restaurant companies, which were set to suffer from a cancelation of the gridiron season. On the other hand, the Middle East will be back in the headlines. Sept. 11 will mark the tenth anniversary of the al Qaeda terrorist attacks on the World Trade Center and Pentagon in the U.S. In addition to focusing our collective national attention on the memorial services in this country, we will be on high alert that al Qaeda will avenge the killing of Osama bin Laden with another set of terrorist attacks. September's calendar also has elections slated for Egypt, Bahrain, Saudi Arabia and the United Arab Emirates. It is likely that the democratic movement in the Middle East will once again take to the streets. Finally, the Jewish High Holidays will begin the end of September. That always brings along with it recollections of the Yom Kippur War and the absence of many market participants to celebrate the holy days.
