Today in the market, Thursday, November 06, 2008: Stocks sold off on Thursday in the worst two-day slide since October 1987 with disappointing corporate outlooks and bleak sales from major retailers fueling fears of a deepening economic downturn. Dow off 4.9 pct, S&P off 5 pct, Nasdaq off 4.3 pct.
Underscoring concerns about anemic consumer spending heading into the holiday season, retail chains posted the worst monthly sales data in more than three decades as consumers, beleaguered by the financial crisis, slashed spending in October. (headline & commentary courtesy of Reuters)
ETF/CEF Low Volatility:
- BIL – SPDR Lehman 1-3 T-Bill
- SHV – iShares Lehman Short Treasury Bond Fund
- UUP – PowerShares DB US Dollar Index Bullish Fund
ETF/CEF High Volatility:
- SKF – UltraShort Financials ProShares
ETF/CEF Discussion: The market continues to fall indicating the slide has further to decline in this secular bear market. RSI knows this and has made some telling picks. More Treasury bond funds, a dollar fund, and a short financials fund. These are holding up in this bear environment. I hope you are very defensive since there will be more carnage ahead. We are hoping that the government will come to our rescue? Dream on. I fear that tomorrow will bring more market declines. The bargain hunters have been slapped around, so don’t go there. We have a lot of time before the market improves.
