Stock Market
All comments and Stock Market Ananlysis are made by Guy Brumley. Guy has been trading the Stock Market daily since 1992.
Trading, evaluating stock prices and predictions
Stock Market Commentary 10-06-2009
The DOW rallied 112 points yesterday on the news the Australia’s central bank raised interest rates one-quarter point. This was the first of the G-20 nations to make a move. The US is not expected to follow for a long time. The range is 9430-9918.
In conjunction, the US dollar is weaker again early Tuesday, leading to higher S&P futures. This has also cause Gold to spike to a new high, along with oil and other commodities to price higher.
The next major speculation is the US dollar will be replaced as the currency standard for the world.
The long term effect of the dollar losing its status, will be a higher stock market, and a $5-6 higher cost for gas.
We cannot continue to print dollars to finance our economy.
Alcoa announces Wednesday, and for the market in front of us, we are expecting “less worse – more better”.
I will look to play both sides of the financial ETF’s. The XJZ JO call option is $.25. This is the 15 call for October, with the ETF at 14.90.
The gold option GLD JV is good for a quick double.
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