Dow was down 256, decliners outnumbered advancers more than 3-1 & NAZ fell 98. This is the worst start for stocks since 1904. The only Dow stock gaining was my Coca COLA (KO), up 12¢. At 12.8K, the Dow is flirting with the it's recent lows. Next week they will be tested & I feel new lows for recent times will be set. The yield on the long Treasury is 3.85%, down 40 basis points in less than 2 weeks. This is where frightened money has gone.
The story remains the same, worries about the US slipping into a recession (a major worry in Asian stock markets). A lot of signs are pointing to that: bad bank loans, sub prime issues, soft retail sales, high oil prices, etc. Watch for retail sales numbers to be reported next week, odds are good they won't make investors happy.
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