Hello MarketClub members everywhere. I'm thinking most of the public thought that all of this bank garbage was behind them, but the reality is there's still a lot of real problems out there many of which the Fed will not own up to. I have said for some time that the Federal Reserve system is out of whack and up a creek without a paddle.
Well, it looks as though Deutsche Bank AG (NYSE:DB) is imploding this morning as it stock sinks with massive withdrawals from hedge funds and the public is not helping matters. With a huge debt load that it can't possibly support Deutsche Bank is in trouble and its only savior at this time is the Merkle regime. However, if they step in it only kicks the can down the road to another day. I'm sure there are still some folks around who remember the hyperinflation in Germany in the 30s. This terrible time was the beginning of an economic climate that gave birth to the Nazi regime. Nobody wants to see that happen again.
Everybody was worried about the financial system in Greece, but we are talking about Germany now which has a far greater footprint and significance in the EU. If Germany begins to totter, the rest of Europe cannot be far behind.
The question I have is this: sooner or later you have to pay the piper and face the music and it is not dancing music!! My other question is when do people begin to pile into hard assets like gold?
It's Friday, the end of the trading quarter, end of the month and the end of the week.
The big winner for the quarter is the Nasdaq which is up 8.89% (Close Thursday). Let's take a look at the markets and how they did for the quarter, the month and the week.
For Q3:
DOW (INDEX:DJI): +1.19%
S&P 500 (CME:SP500): +2.49%
NASDAQ (NASDAQ:COMP): +8.89% (Big Winner)
Crude Oil (NYMEX:CL.X16.E): -4.97%
Gold (NYMEX:GC.Z16.E): FLAT
For September:
DOW (INDEX:DJI): -1.40%
S&P 500 (CME:SP500): -0.91%
NASDAQ (NASDAQ:COMP): -0.71%
Crude Oil (NYMEX:CL.X16.E): +5.07% (Big Winner)
Gold (NYMEX:GC.Z16.E): +1.22%
For the week:
DOW (INDEX:DJI): -0.65%
S&P 500 (CME:SP500): -0.63%
NASDAQ (NASDAQ:COMP): -0.71%
Crude Oil (NYMEX:CL.X16.E): +6.94% (Big Winner)
Gold (NYMEX:GC.Z16.E): -1.00%
Money Management:
Always have areas in your mind that if the market penetrates those levels, you will exit your position win, lose or draw. This is called discipline and money management. Over the long-term, it will save and make you money.
Stay focused and disciplined.
Every success with MarketClub,
Adam Hewison
President, INO.com
Co-Creator, MarketClub
The problem is that DB and the markets will go up until they don't. The economic problems that were present 2 days ago are still present. DB still has a derivatives book that can sink all of Europe - much larger than the entire German economy. It's risky going forward, imho, to put one's head in the sand and ignore the economic and fiscal problems that abound on both sides of the Atlantic.
What?, am I dreaming?. Waking up to Deutsche Bank up 15%, and the Dow up over 160 points? Maybe the emotional gauge has been turned up a bit too high. Somehow I still believe that following the triangles without giving comments about happenings is still the safest way to be. Let us forget about the poor old can down the road and see how during all this time while accusations abounded that the Fed was kicking it along, the stock market has been going up and up and up.
it already has.