This is one crazy market. The truth is everyone is trading in and out of stuff because they are afraid of getting crushed. Today oil was up at one point $25, just amazing. The US Dollar also had the biggest losing day on record and much of the movement in the commodities prices were attributed to the weaker dollar.
There is obvious questioning on the street on this whole bailout plan. Firstly it was estimated to cost 700 Billion but today it was punch up to 1.4 Trillion. The cost of the bailout one economist noted could fund two IRAQ WARS. CRAZY but one thing i know here comes lower prices. I actually thought we could bounce today before the market opened but tomorrow we can set up a bounce scenario if we drift down to support on the S&P.
Goldman Sachs was a big loser today, so was Citibank and Wachovia but the irony here is that you can't short these shares so let me ask them WHO is letting these stocks get killed. It is just finger pointing and it is easy to say the shorts are killing stocks but no matter what GRAVITY will prevail and big these stocks lower because they are worth much less than what they are trading at.
I think Citibank can see $5, Wachovia $5 and Goldman $80 when it is all said and done. We will see soon enough.
MARKETJEDI
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