Market review of today's activity.

We did manage to go back above 7,800 on the Dow today, closing at 7,837 while the S&P 500 closed at 825. The VIX Index closed at 38.85 and the Put to Call ratio closed at 0.86. If we can make it through tomorrow above the 7,800 level it would be good as we have a 3 day weekend. Markets are closed al day Friday.

So here we are holding again and extending the time at this level. What does it mean? To me it means many don't want the market to go lower and the shorts are afraid it can go up quickly so they also are cautious. So we have a standoff right now and a tight range at the bottom of the 7,800 to 9,300 range or at the top of the 6,400 to 7,800 level depending on which way you think we are headed.

Unemployment makes this a horrible recession but the leading story in our local San Francisco paper this morning was all the homes the Banks are just keeping that have been foreclosed, rather than putting them on the market and selling them. Obviously they are hoping for better days ahead or they would be selling them. Many take this as a bad sign about the problem with the Banks. I take this as a good sign that the banks actually can see some recovery going forward. You choose what you want to believe. The more disturbing news today was brought to me by a neighbor who told me that many loans for properties are not going through approval. He quoted me that out of about 40 mortgages applications, only one is getting through and approved. He should know as he is in the business. Let's hope this frees up soon.