QUOTE(danmooncake @ Jul 16 2009, 05:48 AM)
I think the news keep spinning... and momentum keeps building for now.
I was on line chatting with a lot of live traders and people who are actually living in US.
People out in the streets aren't better off yet eventho the news are reporting that conditions are getting better.
In the state of Michigan, with the auto industry massive layoff,
millions already unemployment.
California IOUs are worthless, and the state is going on default. Excessive homes with no buyers.. prices are still plummeting.
REITs aren't seeing recovery yet. Where exactly are the green shoots?
The companies perhaps are reporting less worse because of bottom line: they cut off excess, made it it look good on their books
and look good enough for Wall Street to rally.
Honestly, I do think the market got way ahead of itself.. perhaps setting up for another big correction.
Do be very careful and cautious and keeps the tight stops for those trading.
If the music stops, make sure you have the chair.
GL to all!
Yup, the recovery is benefitting in Wall Street and equities market, ordinary people out there still struggling for job and pay.
Company reporting better profit due to massive cost cutting measures, so eventually equities market follow suit, it is perfectly right and reasonable,
But if recovery doesn't create more job, the economy growth won't be too robust.
We need to see job creation before we can say the recession is over and equities will be in the real bull run at sustainable pace.
Again, only financial company and employee will be getting pay rise and having good time because of recent recovery while poor people still suffering. The world is always rich 'eats' the poor.