Initial claims will fall by a massive 37,000 led by the service sector growth – bullish for dollar bearish for bonds and an opportunity to short stocks
Alan Hershey
Dec. 6, 2006

The bond market will most likely get clobbered as the initial claims for last week fall by close to 37,000 or more. That will confirm that the Fed is in no hurry to reduce rates. That is bullish for dollar and somewhat bearish for bonds. Bonds will not fall much because the inflation expectation will be lower.

This also presents an excellent opportunity for shorting stocks. The stock market is peaking for the last two months will lower momentum, lower VIX and higher insider sales. The market is focused on growth possibilities. While the service sector will move along, auto, manufacturing and real estate are in serious trouble. The lower dollar creates a bull opportunity for dollar while high stock market prices create a bear market possibility for stocks.

Initial claims will fall by a massive 37,000 led by the service sector growth – bullish for dollar bearish for bonds and an opportunity to short stocks
Alan Hershey
The stock market is peaking for the last two months will lower momentum, lower VIX and higher insider sales.
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Insider stock sales surges to highest since 1987 stock market crash – Dow can tumble 2000 points in a month
Fred Day
If history will repeat, the Dow can be in the 7500 area by early 2008. The bear market will probably start in the first or second quarter in 2007.
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Strength in US Service sector growth and weakness in Manufacturing - bullish for dollar and bearish for gold, oil and other metals
Sam Adelton
Iraq problem will have a political solution fast. US budget deficit and trade deficit will shrink like never before. The gold will retest the $400 an ounce. The oil will back down to $40 a barrel.
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Richest 2% of adults in the world own more than half of global household wealth : World Institute for Development Economics Research of the United Nations University
Media Release
The richest 2% of adults in the world own more than half of global household wealth according to a path-breaking study released today by the Helsinki-based World Institute for Development Economics Research of the United Nations University (UNU WIDER).
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Another sign of bullish US Dolllar - Australia's economy grew at its slowest pace in three years as business spending dropped
Fred Day
Australia is suffering the worst drought and a slow growth due to slow business spending. The Aussie dollar will take a beating because of the lower growth and hence lower prospects of rates in Australia. It is bullish for dollar index.
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The bond market acting like late 2000, Fed is in the mood of denial and dollar ready to explode while stocks enter the massive bear market
Peter Oberois
The stubborn Fed will make the dollar rally as US economy though weak start faring far better than the rest of the world.
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US stock market ahead of US Dollar market by two years – extremely bullish for dollar and bearish for gold
Fred Day
If you take the monthly long-term charts in the last twenty years of US Stock market and US Dollar, you can see an interesting time lag. The dollar has done exactly what stock market has done but two years later.
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