Confusion & chaos reign in the markets

With a late day rally, Dow managed to eek out a gain, short sellers probably went home early. Dow lifted itself off yesterday's low gaining 32, decliners over advancers 3-1 & NAZ fell another 6 (approaching the lows set in 2002). It's difficult to believe that the 2 week Dow chart below started from an already depressed level!


Dow Jones Industrials -- 2 weeks





The S&P 500 FINANCIALS INDEX keeps dropping to new lows, although off the lows thanks to the rally in the last hour.

Value 81.74

Change -1.17

% Change -1.4%

The Alerian MLP Index is heading back down to test the Nov lows around 155. Thanks to the late day rally, its losses were limited to 3 so it could end in the 167s (keeping it near last year's low).

Alerian MLP Index --- 1 year




REITs & junk bond funds continue weak in the disarray of the markets. Barclays Capital High Yield Bond ETF dropped to a new low, raising its yield to about 19%. Many junk bond funds have yields well into the 20s.


Speaking of new lows, everybody who invested in General Motors (GM), still a Dow stock, in the last 75 years is a loser. Meanwhile Citigroup (C) held & was able to keep the stock in triple digits (1.03 represents 3 digits). A joke I heard, a bum asks a stranger on the street is he can spare $1. The stranger asks why & he is told so the beggar can buy a share of Citi!

• GM shares reach 75-year low amid bankruptcy talk- AP

Confusion & chaos reign in the financials. Even the gov should be able to figure that out.