Day 24
Situation:
U.S. Markets: After exactly hitting major support zones, markets turned around and closed better than 1% up. Goldman and Merill predict, that US is in a recession already. Short covering ahead of today’s Bernanke speech and vague rumours od FED action today started short covering. Alcoa beat estimates and moved up more than 2% after the close. Bear Stearns closes 3rd Hedge Fund and 4 big Australian banks announce that they are involved with 1 bln $ in Countrywide Financial. Warren Buffet said to be interested in acquiring a bond insurer.
Asian Markets: NOT following the US on Goldman seeing Japan on the brink to recession and Credit Suisse seeing a GLOBAL downturn in real estate and on credit crunch especially selling of Japan real estate. Hongkong as well down on China price curbs.
Commodities/Currencies : Not too much action as market awaits ECB, BoE and Helicopter Ben 
Events: US … Bernanke speaks, Initial jobless claims, Wholesales Inventories, Gas numbers Europe … BoE and ECB decision on rates. ECB to be expected unchanged and BoE with a slight chance of a cut.
Ideas/Strategy: Expect short covering ahead of Central Bank action.
supports: 7860 … 7835/40 … 7820 … 7800 … 7760/70 … 7720
resists: 7895 … 7925 … 7940/50 … 7980 … 8000/8005 … 8040
Tags: Alcoa, Bear Stearns, Buffett, Countrywide, CSFB, daily outlook, Goldman, Japan, rates
