James Picerno submits: Financial crises, bank implosions and chaos generally don’t often inspire. But every debacle has a silver lining. One of those linings shows up these days in higher interest rate spreads. Investors willing to wade into the riskier realms of debt are being paid for their troubles, or so one could argue. As our chart below shows, you get more for your money these days when buying high-yield bonds and Baa-rated corporates, the lowest tier of investment grade debt. Complete Story »
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Massive Government Intervention Has Bulls CheeringFrom: seekingalpha.com
Post Date: 2008-09-08 01:35:31
Kunal Vakil submits: Wow! As I write this, the S&P futures are up 33 points with the Dow Jones futures being up nearly 300, and Nasdaq 100 up 38. The market is all cheered up over the news that Freddie Mac (FRE) & Fannie Mae (FNM) are going to be taken under conservatorship by the Federal Government. It appears that this news was leaked in the final hour of trading on Friday as the market, and especially the financials started rallying pretty strongl...
more US Dollar: Too High, Too FastFrom: seekingalpha.com
Post Date: 2008-09-08 01:31:19
Jack Walker submits: After consolidating and making a continuation pattern between 76 and 77, the US Dollar Index [DX] broke out above 77 ½, traded as high as 79.077 on Thursday and then closed Friday at 78.932. For a currency with many trillions outstanding, we think a 10.87% move in seven weeks is “too high too fast” and we should now expect a correction back to 76 or perhaps even 75. The apparent overhead resistance is at the 80 level where it made a pivot at 80....
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