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Friday, September 2, 2011

Market Thought... franc-y, baby

As highlighted in the previous post, the Swiss Franc goes up and the Markets go down.

The situation is not helped with continued EU bickering. The ECB wants Italy to continue with its early August austerity (not just cutting corporate loop holes).  And with this week's crappy auction, Italy should be listening. Lets not forget Greece in this mix with leaked memos, internal bickering (which lead to the resignation of the guy that leaked the memo about debt craziness) and projecting the deficit target will be missed by 1%.

Today's US non-farm payroll number is really crappy. There was a big hit to the financial sector. (Its a consequence of America hating the sector right now.) The troubling aspect of this report is the average weekly hours and earnings fell compared to last month.  (However, keep in mind, equities at current levels, are reflecting a US slow down already.)

Market weakness should obviously continue. The SP500 may see 1180, the 14SMA.

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