“They” are really worried …
Message understood … “they” are really worried …
Who is “they”?
The FED, the Government, all the (investment) banks who fight for survival.
They fight for every(!) single day, they can hold the markets up. This might end in desaster mode …
Today’s news was:
- Gulf investors see more capital needed to save Citibank
- Intel cuts outlook
- S&P and Moody’s played their downgrading game … Moody’s does NOT see a CDO recovery in 2008
- Merill Lynch sees Q1 15bln$ hit at Citibank
- ECB to cut economic growth outlook and hike inflation expectations this thursday
- Oil and other commodities made reversals today on recession “fears” (Oil below 100 after being up to 103)
Reaction:
Markets retreated. Europe’s cash markets closed down, triggering daily sell signals.
US markets traded (S&P) 10 points below the trigger for sell signal in the daily chart.
Then … final 2 hours approach …
Markets got squeezed around 2% on the following stories:
- Cisco CEO reiterates company’s outlook on Morgan Stanley conference
- Amazon CFO says he is not revising company’s outlook on a Bear Stearns conference
- Apple COO reiterates iPhone target on a Goldman Sachs investment symposium
- CNBC’s Gasparino has “news” about Ambac and Citibank … Ambac refinancing to be announced as early as tomorrow. Citibank to cut more than 10% of its workforce.
Anybody seeing the good news???
What I see?
Markets still in denial about situation … seemingly ALL investment banks trying to be positive on their “shows” 
And the PPT on red alert 
BTW … talk already started about a good chance of seeing another 75bps rate cut on the next meeting … not before??? This might be dissappointing …
Tags: Amazon, Ambac, Apple, Cisco, Citibank, ECB, FED, Intel, Oil, ratings
