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Tense market falls ahead of Bernanke speech – Bought ZROZ August 25, 2011

Posted by Marlowe Cassetti in ZROZ.
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U.S. stocks fell on Thursday as investors raised cash ahead of a critical speech from Fed Chairman Ben Bernanke, hoping he will give them a clearer picture of the Fed’s plans for the struggling economy.

Several negatives contributed to the market’s weakness after three days of gains. Jitters over a sharp drop in German stocks and a report showing continued U.S. job market weakness helped fuel the selling.

The Dow Jones industrial average .DJI dropped 170.89 points, or 1.51 percent, to 11,149.82. The Standard & Poor’s 500 Index .SPX fell 18.33 points, or 1.56 percent, to 1,159.27. The Nasdaq Composite Index .IXIC lost 48.06 points, or 1.95 percent, to 2,419.63. (commentary & photo courtesy of Reuters)

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I took the morning off to play golf in Florence, CO with my friends and I got to a computer in time to place an order to buy the required number of shares of PIMCO 25+ Yr Zero Cpn U.S. Trsy Idx ETF (ZROZ). When the market closed I saw that the RSI portfolio had chalked up a small, but nicely appreciated gain. Appreciated because of the big drop in the markets today. The gains were mostly from the positions in silver and base metal ETFs.

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After the market closed there were no new RSI signals. I’ll catch you later.

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