Globalization of US Elections

Foreign Funding of US Elections

  • Money is easily manipulated and obviously many US corporate entities make the bulk of their profits abroad.  Now they make huge investments in US elections.  For many compnies it is in their interest to see countries like China manipulate their currency and hire more foreign workers. These corporations now can donate any amount of $ they want.
  • Wealthy Individuals can set up their own dummy companies, have foreign investors donate, and they too can donate any amount of hidden money they want.
  • Latest is the US Chamber of Commerce who has many “foreign companies” as members who pay at least $10,000 to join. Chamber lobbied for foreign oil company BP is best example. Now Chamber  using foreign money (this is illegal) to run attack adds.

Bottom Line – The role of foreign investments in US elections is increasing. Obviously major trend of globalization is having an impact on everything from jobs to elections. Just as obviously this has a negative impact on US jobs and our Democracy.

Comments Sections

Lively debate on the Tea Party going on and Paul R keeping traders updated on stocks. YOUR stock list up 3.83% yesterday

Last blog for week – Happy trading – Back Monday

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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 +1.80% up
NASDQ +2.36% up
S&P +2.09% up
Russell 2000 +2.97% -

Technicals, Fundamentals & Analysis

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

US Stock Markets -

Dollar down big time = stocks up big time.

Yesterday it was Japan, but everyone is printing money from Europe to our Fed. Collectively, they all fear deflation and are printing money to solve economic troubles. Downside is inflation ahead. Why the dollar is falling is the Fed’s printing press which has been hard at work since the 2008 meltdown. The Fed had made it clear it will do whatever it takes.

Enjoy the manipulate ride.

Volume was slightly above average, which is not saying much considering its down over 30% from last year. The retail investor is largely gone from this rally.

Earnings season starts Thursday with Alcoa reporting and bloom next week. Earnings usually take over as catalyst for stocks.

Significant Indexes

  • The Dollar (USD) [Anything daily price move over +/- 0.50 is significant. Dollar usually moves inversely to stocks] The dollar fell a massive -o.89% yesterday breaking though a weak support level and establishing a new 8+ month long low.   For stocks falling dollar trend is = Bullish
  • The Baltic Dry Index (BDI) [measures cost of world trade. Also proxy for China & emerging markets] Rose a dramatic +3.67% Monday.  An 8 week bull run, then a two week fall. After short consolidation, looks like bulls are back.  = Neutral/Bullish
  • McClellan Index – (MO) [The rough guideline is over +60 = overbought market = sell positions or short stocks, & -60 = oversold market = buy stocks.]   Rose to to +20.22. Still lots of room to move higher or lower. Location= NEUTRAL

Reading Tea Leaves

Still lots of room for bulls to move higher before overbought on MO. Still lots of room for dollar lower before it reaches a a major support level.

Today is one of those confirmation of the rally days.

Sure looks like we have a runaway bull market. SPX at 1161 with 1221 as this year’s high and major resistance level.

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)

  • EWS (Singapore)
  • USO (price of oil/commodity).
  • SSO (2x what S&P does)  Still held onto last 1/2 of SSO. But will place another 2% trailing stop loss today.

Sold or took over profits in 1/2 of USO & EWS yesterday. USO = 10+% profit & EWS= 12-% They were both over extended and I frequently take profits after making 10% and let the rest ride. Will buy back in on dip in these and other emerging markets ETF’s. See Positions section for more info on everything from YOUR stock List to ETF’s

Paul R reports YOUR stock list again clobbered the benchmark S&P 500 and gained +3.83% yesterday. See comments section of blog.

Longer Term Outlook - CAUTIOUSLY BULLISH

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING!

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