Still sentiment against fundamentals …
Or … in other words … much money … no brain 
The facts … of today only …
-UBS … dissappointing figures … even after very weak expectations …
says … MORE WRITE OFFS … sees MONOLINE induced ones … AUTSCH
-FNM … worse than expected … but positive talk despite their view, housing market will not turn around before 2010(!) … made them turnaround today … Hmmm
-Oil & “friends” made new record highs on Goldman prediction of up to 200$ THIS year … I still think, it is a SELL here …
-Citibank … expected to announce BIG lay offs friday as well as a “split” of the bank …
So … what do we have???
A still struggling financial sector, which will suffer most probably much longer than anticipated … a housing sector, which is not even in sight of a bottom … and inflation kicking in by high Oil and food prices…
The market rose 
… WHY?
1. Complacency setting in as the market seems to have a FED insurance against lower prices.
2. Bears getting nervous as they chase benchmarks. Merill study shows, that hedge funds sit on record liquidity, are not only underweighted equities, but rather outright short of them.
3. Too much money even for questionable investments available … see capital increases at financials and the snap up of bad gone loans from banks by stupid private equity firms, who make a margin by repackaging it and selling it to individuals … does that sound familiar?
So … all in all the same thing, as last year … no real trends in equities … but a big and wide trading range …
until the market realizes what is going on … IF that happens …
Tags: bond insurers, Citibank, Fannie Mae, financials, food prices, Goldman, housing, Merill Lynch, Oil, sentiment, UBS
