Markets modestly higher

Dow was up 85, advancers over decliners 2-1 & NAZ gained 14 on an uneventful day. Banks are off slightly.

S&P 500 FINANCIALS INDEX

Value 197.20

Change -0.40

% Change -0.2%

The Alerian MLP Index was fractionally higher to the 260s. The Dow Jones REIT Index was up 2 to 169, It's been flat in recent months but has remained above 160 for the last 2 months. Junk bond funds were also a little higher. The yield on the 10-year Treasury bond was flat at 3.45%.

Alerian MLP Index --- 2 weeks




Dow Jones REIT Index --- 2 weeks





Oil continued weak after yesterday's inventory report. Gold is flat just under its historical levels.

CLZ09.NYM

....Crude Oil Dec 09

...75.87

... 1.07 .......(1.4%)

GCX09.CMX

....Gold Nov 09

...1,105.40

... 0.60 .......(0.1%)

The Univ of Mich Surveys of Consumers said the preliminary index of sentiment for Nov fell to 66.0, the lowest since Aug, from 70.6 in Oct (well below expectations of 71.0). Note the drop to 66 is not shown in the graph below. The index of consumer expectations fell to 63.7 in early Nov from 68.6 in Oct. Grim financial realities faced by consumers as well as weaker economic prospects for the year ahead caused confidence to tumble in Nov. The decline in confidence was in place before the announced increase in the unemployment rate to 10.2%. Within the survey, the 12-month economic outlook index fell to 67, the lowest since Apr, from 81 in Oct.

Consumer Sentiment in US Unexpectedly Decreased

Consumer Sentiment - 1 year

Bloomberg TV had a story about ETFs last night. There are a few that double or even triple the price swings of the index, but they can cause problems for investors. These funds require a lot of attention by the managers. Changes to replicate price movements may be slow, hurting results. The recommendation is only use the doubler ETF funds for day trading, any longer time frame can hurt an investor. The regular ones should work well. For MLPs, a new fund called JPMorgan (the manager) with a symbol AMJ replicates 10% of the Alerian MLP Index. For investors who want to invest in MLPs by buying a stock with a diversified portfolio of MLPS, this is a good approach. Dividends from net distributions (after expenses) are paid.

Successful traders are taking the day off, there is not a lot happening.

Dow Jones Industrials --- 2 weeks