.

The Correlation is

Awesome

.

The More US globalized Companies

Invest in

Brutal Dictators and

their Cheap Labor Force,

the higher US Stocks Go


Blind Chinese

Democracy Dissident

.

.

Chen Guangcheng

.

Gangs of thugs brutally beat his family and friends, yet some how Chen managed to escape. Now he is  being hospitalized.

.

..

Why is it that instead of passionately

backing freedom and democracy

.

  • The Obama administration is walking on eggshells over this?
  • Right wingers aren’t screaming “commie bastards”?

.

Why?

.

.

  1. China owns over A Trillion+ dollars of US Debt?
  2. US globalized companies from Apple to Walmart hire millions of Chinese workers?
  3. US taxes Chinese imports at a rock bottom 2.5%, while they tax ours at 25%?
  4. China floods the USA with lower cost imports?
  5. The more US companies invest in China, the higher their stock prices go?
  6. US companies desperately want to expand in China?
  7. ALL OF THE ABOVE!

.

.

_________________

.

US Global Companies

Sure Love Their Dictators

.

.

US companies are calling for and end to sanctions against the brutal dictatorship and Resource rich country of Myanmar

.

A show of Hands

.

.

Think the Myanmar news

will make mainstream media?

.

*******************

.

STOCKS

.

.

Trends

.

Notice similarity to Monday’s blog. These trends impacting global stock markets are becoming STRONGER.

  • Earning Result are virtually over. Usually better than expected results, were mush better than expected. Expansion of US companies in China played a major role in earnings results
  • Europe – Major trend is many European economies are rejecting sever austerity measures.  Germany (who has the most to lose) is fighting the tide. Story
  • Spanish 10 year Bond Rates [411 uses this as a critical measurement of European/world stock market stability] have stabilized over last three weeks just under 6% danger zone.
  • Spanish bond rates rising this AM to 5.85% at 6:00 AM EDT.
  • McCellan Oscillator [411 very successful technical tool in market direction - Tops/bottoms] is at +35.50. Closer to overbought than oversold, but still NEUTRAL

.

____________

.

Reading The Tea Leaves

.

..


Can the US market Rally despite the problems

in just about every other major world market?

.

  • Dow closed at its highest in 4 years. AAPL was no help.
  • Europe’s canary in the coal mine, Spanish bonds need to stay below 6%. It is. A strong resistance level has been established at 6%.
  • Our Fed’s “Operation Twist” ends in June. Traders/Investors/Manipulators need to see that they will continue liquidity dump.

.

Still looking looking decent for May if we don’t have a Spanish yielded problem.

.

If there is no signs of further Fed liquidity, then the late spring meltdown of past two years will repeat.

.

*************************


.

More Trumpets

.

.

Your Stock List

.

Paul announced the results from

the last stock list in the comments section.

.

.

S&P 500 = -0.75

YSL =  +3.27

.

That makes 8 of the 9

YOUR Stock Lists

Home runs

that beat the S&P.

.

YOUR new Stock List

is in Monday’s blog.

.

Good advice from Paul “Please keep in mind, its earnings season and some of these stocks haven’t reported yet. It’s your responsibility to find out when your stock reports and the earnings estimate. Many of these stocks are currently extended and you should wait for a pull back before a buy.”

YSL Only works because YOU send in a short list of your favorite stock. Look for a discussion of them and stocks in the comments section of blog every day

NB – I do own some of the stocks on YSL

.

*******************

.

Spanish Bond yield over 6% =  NEUTRAL

Under 6% = CAUTIOUSLY BULLISH

.

Longer Term Outlook

3 months+

.

CAUTIOUSLY BULLISH

.

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING

ALL TRADING INVOLVES RISK & POTENTIAL LOSS OF PRINCIPLE

CHECK ALL DATA, I MAKE MORE THAN GRAMMAR  ERRORS.

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