Tuesday August 27, 2013
Today's WSJ has numerous artices from Gerry Seib to Brett Stephens to the lead editorial on Syria. The US has lost credibility by saying Assad would have to go if he used chemical weapons. He did, now what?
Well I don't see any positive outcome in Syria. We do know however what the stock market was too far exteneded above its MAs and had completed five waves up from last November.
The Fib tool at left suggests reasonable re tracements. However I also see big drops in housing starts. On page A 2 orders for manufactured goods fell a whopping 7.2% in one month. Couple this with a potential oil price spike in invasion news and the markets will be set for the usual fall tumble.
TLTis up a mere 48 cents. The Dollar has not fallen apart. At 8 45 AM CST Crude oil is up $2.62.
So the possibility of a half hearted attempt at dislodging Assad amid a loss of credibility
Falling stock prices
Rising gasoline prices
Obamacare just a month off
Should be an interesting fall..