Markets waver ahead of the stimulus package vote

Stock markets vacillated trying to figure out what to make out of the stimulus bill. Dow is down slightly while NAZ is even & advancers are 25% over decliners. S&P 500 FINANCIALS INDEX slipped 3.

The Alerian MLP Index continues on a tear, rising 2½ to the 205s:

Alerian MLP Index --- 2 weeks




REITs, junk bonds & even the VIX were weak but oil was strong (probably helping MLPs)

CLH09.NYM

...Crude Oil Mar 09

....35.96 1

... 1.98 .......(5.8%)

China's economy, 4th largest in the world, is showing signs of recovery after their enormous stimulus/recovery plan was announced in Nov. Their stock market has rocketed ahead in the last 3 months. In 2007, the Shanghai stock market virtually doubled only to lose those gains & more last year. Late last year, the Shanghai market was down to the 1700s (from a record high over 6K in 2007). Since then it has been moving up nicely. Today it closed up 72 to 2320, that's a partial recovery. Domestic growth may be giving them a lift, but export business must be soft.

•China's Economy Shows Signs of Recovery as Stimulus Package Takes Effect


Australia, like most of the other countries in Asia/Europe, has an economy that needs help. They just passed an enormous (for them) stimulus package to provide economic aid.

•Australian Senate Approves Rudd's $28 Billion Economic Stimulus Package


Toyota (TM), now the world's largest auto company, is facing the same issues as the US competitors, soft sales. In the US, they are using buyouts to lay off employees. Their Japanese business has already been hit hard between the forces of a weak local economy & high ¥ rates of exchange hurting export sales to a world in a severe recession. Their stock, however, has done much better than General Motors (GM). TM is down 1.28 today to the 66s (its all time high was in the 130s).

•Toyota Plans Wage Freeze, Buyouts in North America as Output Cuts Increase


The record spending stimulus package should be signed off this weekend. Legislators will be voting on a bill with several hundred pages written in bureaucratize (a language similar to English) after trying to assimilate its scope & meaning in just a few hours. All we can do is hope for the best. An agreement on bank bailout II still has to be reached, that will be even more complicated. Finance minister from around the world are meeting in Rome, looking to come up with solutions to the largest financial problems in history.

• Stocks waver as world's finance ministers meet- AP