Stock market : Don't be fooled twice!

Today the Government of President Bush reported the Jobs Report at 5:30am PST and it was worse than expected, as I heard it reported on CNBC. Panelists said it was worse than expected and it didn't look good going forward. But as they watched the Futures market, they didn't see a sell-off. The market then opened an hour later and it is up right now 150 points. My friends, don't believe the market. If you have made a profit, take advantage of the move up and sell into it. The market is headed lower. There is no escaping it. Don't try to outsmart the pro's.

Think about it for a moment. We have lost 1.2 Million jobs in 2008 so far. The Unemployment rate jumped today from 6.1% to 6.5%. What is it in the numbers you don't get? Bad news is bad news. So this market in my view will sell off later in the day. If I were to pick the precise timing of the sell-off I would guess just about when Obama speaks at 11:00am PST. Why then, you ask? Because the power folks who are threatened with regulation by an Obama Administration want to make a point that they don't approve. I say "Tough, you made this mess and we are going to clean it up! So go cry in your soup. You have no idea what the average American family is going through because of your shenanigans these past 8 years." That's what I would tell them if they would listen. But they don't and won't, will they? Will you listen?

UPDATE: 11:55am PST.
Barack Obama started his news conference at 11:50am with the Dow at 253, as soon as he started with his first sentence of welcoming the Dow started to drop. In those 5 minutes the Dow has dropped to 170. It will be interesting to see what develops by the end of his News Conference.

UPDATE: 12:00pm
Dow is at 117

UPDATE: 12:05pm
Dow is at 95

Markets point up but don't be fooled!

GDP for the 3rd Quarter was announced this morning and not surprisingly it was down -0.3%.This was not as bad as some had predicted with many expecting -0.6%. However, there were 2 good months with Sept. being the bad month. Markets appear to be set to open higher, but that doesn't really make sense does it. So this is a continuation of a Bear market rally. The Fed is lowering Interest rates but it doesn't and won't have any effect because no one is lending credit. So it's like the Butcher shop that advertised hamburger for $0.99/lb and when you ask for it the butcher says we don't have any. :)

Those invested in the stock market right now would be wise to take any profits they have in some stocks as one can predict without much effort these markets will pull back again soon and maybe deeper than before. My advice for those in cash is to use some cash to buy Ultra Short Funds of Indexes like the Dow or S&P500, as they are very cheap right now.

Things are not looking better in the economy even with all the actions of the government to mitigate the financial crisis. Therefore a stock market, which is rising is counter to the real conditions present. save yourself some pain and heed my advice. When might this pullback happen? My guess is just after the election. This rise may be to help give the Republicans a chance to win or keep some seats and so some Hedge Funds and investment bankers are pumping up the Indexes.