Monday, December 3, 2007

Stocks pull back

Stocks give some of their big gains of the last few days, but nothing major. Dow was down 57 while NAZ pulled back 24. The decliners beat advancers 3-2. Traders were trying to figure out where the economy is going. GE (GE) gave a cautious outlook for next year. It looks like awaiting developments described the mood today. I watch banks closely, they gave up some of last week's gains.

This is tax selling month not to mention various funds adjusting for year end results. While Dec has been a good month, anything is possible. For the time being, next week's FED meeting on interest rates seems to be one of the big market movers. Oil is under 90 & the Treasury bond rate is under 3.90%. Who knows what's going on? On tax loss selling, financials, REITs & especially junk bond funds may decline. Watch your favorites to look for future bargains.

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