“The number of Americans filing new claims for unemployment benefits fell last week, offering reassurance that the bottom is not falling out of the labor market despite signs of slower growth…Economic data for January and February suggested that growth accelerated in the first quarter after activity almost stalled in the final three months of 2012. But…the economy appeared to have hit a speed bump at the end of the quarter, with data ranging from employment to retail sales and manufacturing weakening significantly in March.” – CNBC Story at…
http://www.cnbc.com/id/100672188
SPAIN – NEW RECORD FOR UNEMPLOYMENT (ZeroHedge)
“Spain has just breached the 27% unemployment
level - the highest since at least 1976, when data began following Dictator
Francisco Franco's death.”http://www.zerohedge.com/news/2013-04-25/spanish-unemployment-tops-record-rising-fastest-rate-year
RBS – CENTRAL BANKS INVEST IN RISKY ASSETS (Rick Santelli, CNBC)
Rick Santelli (CNBC) reported on a Survey of 60
central-banks, controlling close to 7-trillion dollars, published by the Royal
Bank of Scotland called, “”Trends in Reserve Management.” While the central banks normally invest in
very conservative holdings, RBS concluded:“The policies of the Federal Reserve and the ECB are having a major impact on reserve management policies. Reserve managers have looked to diversify their portfolios in a variety of ways: from movements along the yield curve to investing in new markets and new currencies. Central banks are investing in markets & currencies that were until recently not even likely to be considered.”
Rick said that the banks were big into currencies and
equities and he had a big problem with that:
“There is a danger that everyone is loaded in the same direction. Should
the central banks, like the federal reserve, not be able to prime that well into
a self-sustaining activity when some of the quantitative programs end, who gets
caught holding the bag?” Video at…
http://video.cnbc.com/gallery/?play=1&video=3000164122
The Federal reserve and the ECB are prevented from
investing in equities. Not so many other
Central Banks…Perhaps this rally will never end.
GREECE TO GERMANY: PAY WAR REPARATIONS (Wall St Journal –
online)
“Greece is seeking to revive a long-standing demand for
reparations from Germany arising from World War II, its foreign minister said
on Wednesday, in a move that could test Athens's ties with Berlin, which bears
the largest part of the country's rescue package. Greece's claims to war damages from Germany's
occupation of the country some 70 years ago aren't new and there is little sign
that they could be successful this time.”
Story at… http://online.wsj.com/article/SB10001424127887324474004578443081332166430.html
BUYING JAPAN
For those who may be buying the Japanese stock market,
remember: pair this trade with a short of the Yen either thru the currency
markets or an ETF. The Japanese Central
Bank is hell bent on devaluing the Yen so an investment in Japan (in US dollars)
faces significant currency risk.
MARKET RECAP
Thursday, the S&P 500 was up 0.4% to 1,585 (rounded). VIX was almost unchanged, up 0.1% to 13.62.
Thursday, the S&P 500 was up 0.4% to 1,585 (rounded). VIX was almost unchanged, up 0.1% to 13.62.
NTSM
Thursday, the NTSM analysis was HOLD at the close. All indicators are now neutral.
It still looks like a top is forming.
It simply isn’t going to be the expected quick pullback. That was predicted by too many people. So far, the S&P 500 has just bounced on
its lower trend-line so the bull market is officially still intact. The bull will be tested when the markets retest the highs.
MY INVESTED POSITION
I remain about 20% invested in stocks as of 5 March (S&P 500
-1540). My reasoning may be found at…http://navigatethestockmarket.blogspot.com/2013/03/why-i-got-mostly-out-of-stock-market.html
