Market comments for Jan. 28th

There was plenty of news in the world yesterday to get investors rattled, including riots in Egypt, but the Futures were up in pre-market. Also in business here, Ford had a bad 4th quarter, adding to the real data about the economy. Their profits plunged 79% unexpectedly, commentators said. I don't think the Consumer has been spending much money on cars and trucks so it didn't surprise me. Did it surprise you? I doubt it.

This morning more data was added on the heap of news. Advanced GDP number for the 4th Quarter came in at only 3.2%. Expectations were for 3.8%, so this validates the 4th Quarter was indeed weak. When this number gets revised, I will bet it is revised downwards. The markets have all reached their peaks recently with the Dow hitting 12,000, the S&P 500 hit 1300, the Russell 2000 has previously hit 800 and only the Nasdaq has fallen short of 2800, its high back in 2007.

Now what? How about you tell me what you think where we are now headed! You try this for a while. :) Seriously, Bernanke may want to continue to inflate the stock market as he has recently admitted to, but then it is just another bubble to deal with that will burst and hurt everyone. I can't say when it is going to burst, but when it does watch how surprised and scared everyone will be, including you if you don't take the right actions now. If you have stayed in this market for the past year and haven't taken your profit, what are you waiting for? Only greed can be driving you at this point is my guess. If you have been short this market for a while and hurting form doing so, why throw in the towel now, especially since you have already endured the pain of this manipulated market. Hang in there and you will be rewarded soon. I hope you have been buying more shorts lately to average down your costs and improve your profitability when this market turns. If you are in cash and have been in cash for a while, why are you reading this Blog? Get a life and go outdoors and enjoy the sunshine.