Just a few observations:

The spu’s are caught between 1197-1202 on the downside and

need a close above 1224 to get anything going on the upside.

Currencies…I do not envision any follow through dollar weakness until after the G20.

Politics rules and day traders can sell rallies and buy breaks…

Bonds…Mr. Fed was showing the market who’s the Boss with the rally after the auction…

We took some money off the table because the TBT has had a 20+% move….

We are still long the TBT and short the 30 yr. looking to sell every big rally. This is

a core portfolio short for the next qtr. Many of you either weren’t alive or traded the currencies

during the many interventions in the 80’s. You are always looking to take the other side of the intervention to make money.

Gold & Silver….Any Harry Potter fans should remember the conductors line on the Night Bus

” Hold on it’s going to be a bumpy ride”

You need a couple of daily closes above Dr. Nenner’s Tgt’s for another big leg to start on the

upside.