Of all the signs of gloating arrogance and contempt our billionaire plutocracy has for Main Street America this year none can top Steve Schwartzman the oligarch at Blackstone Group.

While low income American seniors turn down their thermostats to save money over this cold winter Schwartzman

complained that any attempt to make him pay actual income tax on his income was akin to

“when Hitler invaded Poland.”

“In any civilized society he would now be pariah.” (see Arends editorial below) but in America he is a hero.

Schwartzman, “who grudgingly issued a partial retraction” is the hero of almost every news outlet from FOX to CNBC who breathlessly hang on his every word.

As Yankee Bob put in in the comments section of the blog The oligarchy controls the media.

The Great Bank Heist of 2010

From Market Watch’s Bret Arends – Some money quotes -

“This was the year America finally took on the power and greed of the Wall Street banks. And the banks won.

They dodged the bullet of real reform, probably for all time. They bounced back to post huge profits, helped by legal theft from the middle class. They completed their takeover of both political parties — and bought themselves a new Congress even more pliable than the old one.

Middle-class America is flattened, devastated and broke. The bankers that caused it all have escaped punishment. They’re raking in huge profits. Oh, and the tax cuts just got extended for high earners, too!

Game over”!

Obama & Biden Sing

“So long to ya 2010″ – A 2 minute fun song/video from Jib Jab

KISS & Stocks (Keep It Simple Stupid)

If you don’t understand a term look in up at Investopedia.com dictionary

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING!

DOUBLE CHECK ALL DATA, I MAKE MORE THAN GRAMMAR MISTAKES

Index Percentage Volume
Dow -0.12% down
NASDQ +0.25% down
S&P 500 +0.05% down
Russell 2000 +0.36% -

Technicals, Fundamentals & Analysis

Investors411 record – 5 years of beating benchmark S&P 500

  • Municipal Bonds are a dark cloud on horizon. The Obama stimulus kept them afloat, now Meg Whitman & others say there are signs of danger.
  • Fracking stocks. Yep, you read it right Fracking stocks
  • President St. Louis Fed (a video) James Bullard on Republican Ron Paul & other critics. Another dark cloud on horizon will be the bombs thrown by Paul, who is in a powerful position & the Fed in 2010.
  • Another day of slow melt up in light volume with small caps and techs leading stocks – the trend for many moons.

Significant Shorter Term Forecasting Indexes

  • The Dollar (USD) [Anything daily price move over +/- 0.50 is significant. Dollar usually moves inversely to stocks] The dollar rose slightly Friday+0.32%. yesterday. Moving toward its early Dec high for last 5 days For stocks = Bearish/Neutral
  • The Baltic Dry Index (BDI) [measures cost of world trade. Also proxy for China, emerging markets,&  exporting countries]Rate of fall increased to -2.20% Friday. (see yesterday’s Investors411) = Bearish
  • McClellan Index – (MO) [The very rough guideline is over +60 = overbought market = sell positions or short stocks, & -60 = oversold market = buy stocks.] fell a bit to -1.80 This gives stocks lots of room to move up or down. = Neutral

Reading The Tea Leaves -

Here the truth -

As most of you know, Investors411 has a great record over the last 5 years in making educated guesses on how to invest. However, some 50% to 80% of the money invested in US equities is controlled by a wealthy oligarchy that uses High Frequency Trades to find market imbalances and then  invest.

Basically they are shooting fish in a barrel while we make our educated guesses.

This is NOT your parents buy and hold market anymore. You can still outperform as Investors 411 has shown with YSL & leveraged ETF’s. But beware at some time American’s are going to wake up to how they are being used.

——

The overall condition of US stocks keeps slowly deteriorating. What’s holding it all together is the manipulation (maybe a kinder word would be the stimulation) by the Fed, Obama Tax compromise, low interest rates and other  entities/policies. $16 billion got printed & dumped yesterday.

One Bottom Line – Since the benchmark S&P 500 hit its lows of 667 in March of 2009 all the Fed/government stimulus has juiced markets to 1247.  Investors should be falling on their knees kissing the feet of the Obama administration – yet they (at least if you watch the #1 financial channel) CNBC) hate him

Positions

The  Positions Section link to latest & former buys and sells  - These are positions I actually own

(I do manage 6 accounts that have other positions).

Current ETF Positions. (oldest held positions listed first)

  • EEM - (Emerging Markets ETF) -1/2 positions sold
  • #1 UWM - (2x small cap stocks ETF) -
  • #2 UWM
  • EUO - (double short the EURO currency) Bought Friday at 20.76

Repeat from Monday

UWM – Note that even though major US indexes makes small gains that the Russell 2000 (small caps stocks) usually does better than its other three sisters (see box above) UWM is an ETF that does 2x what small caps do.

EEM - Even though we are still in the green with this this ETF it is under performing US stocks. The BDI is a good forecast tool for emerging markets that rely on trade more so than more developed countries. The whole world, of course, relies on trade. So considering selling the remainder- hopefully in a rally

Look for Paul R’s always enlightening remarks on stocks and sectors in the comments section of the blog. See POSITION section of blog for lists of potential stocks & ETF’s including ”YOUR Stock List.” (YSL)-

Longer Term Outlook - CAUTIOUSLY BULLISH

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING!

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